Madinah leads Saudi hotel occupancy at 74% in H1 2025

Madinah topped Saudi cities with a hotel occupancy rate of 74.7% during the first half of 2025, according to a newly published report by the Ministry of Tourism. 

 

Known as the second holiest city after Makkah, Madinah attracts millions of pilgrims each year who visit the Prophet’s Mosque, plus historic sites including the Quba Mosque, the oldest mosque in Islamic history, and Mount Uhud, the site of the famous Battle of Uhud.

 

The Holy City’s hospitality sector has expanded rapidly, reaching 538 licensed facilities, including 69 new hotels and 64,569 total rooms, with more than 6,600 added during the period. 

 

This performance sharply outpaced the national average, with Saudi’s hotel occupancy across the kingdom recorded at 63% in the first quarter of the year.

 

Driving this exceptional growth is surging religious tourism. In the first quarter of 2025 alone, Madinah attracted 6.45 million religious visitors, nearly 4.4 million of whom arrived from overseas, representing a 10.7% increase compared to the same period last year. 

 

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Nationally, overall Umrah pilgrim numbers reached 15.2 million in Q1, up from about 13.7 million in Q1 2024, showing booming demand for hotels and hospitality services.

 

To keep pace, leading hospitality groups are quickly building out their pipelines in Madinah. 

 

The city currently offers around 20,673 hotel rooms, according to a 2025 report by Knight Frank, with another 2,100 scheduled for delivery by 2027. 

 

The landmark Rua Al Madinah mega-project alone is expected to bring more than 47,000 new rooms online by 2030, expanding accommodation near the Prophet’s Mosque and the city centre. 

 

Global hotel giants such as Hilton – with eight hotels underway in Madinah – plus Accor, Marriott, Four Seasons and Radisson are all strengthening their presence in the city.