PIF-owned Al Balad Development unveils $3.6bn plan to develop Historic Jeddah 

PIF-owned Al Balad Development unveils $3.6bn plan to develop Historic Jeddah 
Historic Jeddah, known as Al Balad. Getty
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PIF-owned Al Balad Development unveils $3.6bn plan to develop Historic Jeddah 

PIF-owned Al Balad Development unveils $3.6bn plan to develop Historic Jeddah 

RIYADH: ’s Al Balad Development Co., a unit of the Public Investment Fund, has announced a $3.6 billion (SR13.5 billion) investment portfolio to transform the hospitality landscape in Jeddah’s historic district. 

The company said the initiative will see the rehabilitation and development of heritage hospitality assets across Historic Jeddah — known as Al Balad — with the goal of creating more than 3,300 hotel units, according to an announcement on X. 

The initiative forms part of ’s broader economic diversification strategy under Vision 2030, which aims to expand non-oil sectors such as tourism, culture, and hospitality while enhancing the Kingdom’s global appeal as a heritage and travel destination. 

In a post on X, the company stated: “Al Balad Development Co. launches a $3.6 billion investment portfolio to develop hospitality assets in Historic Jeddah, including the rehabilitation and development of a group of hospitality properties in the district.” 

The initiative includes plans to build hotel units across multiple categories — comprising 325 luxury rooms, 758 upper-upscale rooms, 664 upscale rooms, 1,246 mid-scale rooms, and 422 hotel apartments. 

Implementation of these projects will begin in 2025 and continue through 2038. 

Established in 2023, Al Balad Development Co. serves as the heritage-focused master developer and asset manager for the Jeddah Historical District. 

The company said the projects will be implemented through various funding models, including investment funds, public-private partnerships, and build-operate-transfer contracts. 


Italians’ interest in traveling to is growing, says country’s tourism minister

Italians’ interest in traveling to  is growing, says country’s tourism minister
Updated 13 sec ago

Italians’ interest in traveling to is growing, says country’s tourism minister

Italians’ interest in traveling to  is growing, says country’s tourism minister

RIYADH: Italians’ interest in traveling to is increasing, as the Kingdom continues its efforts to boost tourism flows, while work is underway to explore opportunities for intensifying direct flights between the two sides. 

This was confirmed by Italian Tourism Minister Daniela Santanche

Santanche said: “ has made significant progress in diversifying its tourism offerings and improving its infrastructure, making it an attractive destination for international visitors.” 

She emphasized that tourism exchange programs between the two countries could enhance cultural ties and encourage visitor flows.

The Italian Minister also mentioned that the Italian side is working with the national carrier ITA Airways to explore opportunities to enhance direct air connectivity with to accommodate tourist flows in both directions.

Steady growth in Saudi-Italian relations

Relations between and Italy are witnessing steady growth, with the trade volume between the two countries reaching €966 million ($1.11 billion) in the first half of this year, and tourism flows recording a significant increase.

More than 322,000 Saudi tourists visited Italy last year, a 65 percent increase year on- ear, spending more than half a billion euros, according to the Italian Minister.

Participation in the forum provided an opportunity for leading Italian companies to showcase what they have, “creating favorable conditions for mutual investment and further enhancing relations between the two countries,” as confirmed by Santanche.

The Minister added: “We are actively working to promote cooperation between Italy and . The participation of Italian companies in the ‘TOURISE’ initiative is an important step in this direction.”

Many Italian tourism companies are currently operating in “and are ready to cooperate with their Saudi counterparts to develop new opportunities,” according to Santanche, who confirmed that facilitating the entry of Gulf Cooperation Council citizens, led by Saudis, into EU countries is an important factor for increasing current tourism flows.

In April of last year, the European Commission adopted a historic decision to grant GCC citizens five-year multiple-entry Schengen visas.

Saudis currently account for 60 percent of the Schengen visas granted to the Gulf countries combined, amounting to 470,888 visas, as previously reported by the EU press office in the Belgian capital Brussels to Al-Eqtisadiah.

An Italian vision on tourism and artificial intelligence

During the forum, Santanche presented Italy's vision on tourism and artificial intelligence, focusing on the pivotal role of the human element in managing innovations.

She highlighted the importance of tourism as an economic, cultural, and social driver, emphasizing the need to regulate the use of emerging technologies to ensure maximum benefit without compromising the tourist experience.

Regarding , she said: “Practical cooperation can be achieved by maintaining active international relations through Italian companies operating in and facilitating potential Saudi investments in Italy.”

While describing the tourism sector in as “very important and positive,” she pointed out that Italy has a long tradition in hospitality and the management of historical and cultural destinations, saying: “We can make a significant contribution by exchanging our expertise and best practices in promoting cultural heritage and creating unique and attractive tourist experiences.”