Saudi Arabia: SR1 million fine for unlicensed hospitality businesses

International news
Practising hospitality activities including daily apartment rentals in Saudi Arabia without licensing from authorities is punishable by fines of up to SR1 million, a legal expert has warned.

The penalties also comprise shutting down the business place and naming to shame the offender, expert Nayef bin Hamad said.

These measures run in line with a government circular issued to travel agents and operators of tourism services, hospitality facilities, and daily rentals, he pointed out.

Obtaining the operation licence from the Saudi Ministry of Tourism must meet specific requirements before the related units can appear on local and international rental platforms, Nayef said in video remarks.

Earlier this year, Saudi Tourism Minister Ahmed Al Khateeb said the kingdom’s tourism sector in 2023 fulfilled a target of 100 million tourists including 77 million local visitors and 27 million tourist arrivals.