Qatar attracts $13.8m industrial investments in Q1

RIYADH: Saudi travel bookings surged in the first quarter, 2025, with regional demand up 14 percent driven by mobile-first convenience, flexible payments, and value-focused accommodations, a new report showed. 

Released by Almosafer, a Saudi travel firm under Seera Group, the report also highlighted a rise in international bookings, with a 11 percent year-on-year increase. 

Domestic reservations grew by 4 percent annually, along with strong expansion in the Middle East and North Africa region and long-haul international travel. 

The findings reflect a shift in Saudi travelers’ preferences, as they increasingly explore both local and global destinations, with a growing emphasis on adaptability, ease of booking, and affordability. 

This comes as Saudi Arabia’s airports handled 128 million passengers in 2024, a 45.8 percent increase since the launch of Vision 2030 in 2016, according to the Kingdom’s latest annual report on the initiative.  

Muzzammil Ahussain, CEO at Almosafer, said: “The continued growth in travel demand across domestic, regional, and international markets reflects a robust appetite and confidence for exploration among Saudi travelers.” 

He added: “We’re seeing a clear shift toward value, flexibility, and personalized experiences, whether it’s through choosing alternative accommodations, mixing and matching flight options, or leveraging mobile-first payment methods like Apple Pay and flexible options like buy now, pay later.” 

The report noted that flight bookings grew across all markets, with the MENA region leading at a 12 percent increase, while international flights rose by 5 percent.  

Room nights booked for domestic stays surged by 14 percent, and international trips climbed 13 percent.  

Saudi travelers are benefiting from a wave of local tourism initiatives and enhanced international airline connectivity. 

Government-backed events and infrastructure projects are fueling domestic exploration, while expanded flight routes and eased visa policies are making global travel more accessible. 

Almosafer noted that the strong demand for domestic stays was fueled by a growing range of events and unique experiences within the Kingdom.  

Payment preferences shifted notably, with BNPL options representing 25 percent of all bookings, up from 14 percent the previous year, the findings showed.  

Popular regional destinations for Saudi travelers included Dubai, Doha, Cairo, and Manama. 

For longer-haul travel, Istanbul, London, Paris, and Phuket remained top choices, while newer destinations like Bangkok, Amman, and Milan as well as Moscow, Madrid, and Prague also gained traction. 

Domestically, cities such as Makkah, Jeddah, and Riyadh, as well as Alkhobar, and Madinah dominated, alongside rising interest in Taif, AlUla, and the Red Sea, the report showed. 

Saudi traveler profiles also evolved, with solo travelers representing 53 percent of flight segments, particularly toward long-haul destinations.  

Family trips major driver

Family travel accounted for 16 percent of flight segments but saw a 23 percent increase in the average trip length within the MENA region.  

Families were a major driver behind the 22 percent rise in domestic stays, while solo traveler stays beyond the region grew by 23 percent. 

In the air travel segment, full-service carriers grew in the domestic market by 24 percent year on year, while low-cost carriers saw a 6 percent decline.  

Within the MENA region, both full-service and low-cost carriers experienced growth. For international long-haul travel, low-cost carrier volumes surged by 35 percent amid the launch of new routes, even as full-service carrier volumes fell by 8 percent. 

Booking flexibility became a notable trend, with 24 percent of travelers opting to mix and match airlines for round-trip journeys.  

Accommodation preferences also diversified, with more than 75 percent of room nights booked in 4- and 5-star hotels.  

However, 3-star and below properties saw a 12 percent rise in international bookings, and bookings for serviced apartments and holiday homes increased by 15 percent in the MENA region and 21 percent beyond, reflecting growing demand for value-driven options. 

Alternative accommodations accounted for 8 percent of total room nights, offering an average 37 percent savings per night compared to hotel stays. This shift is particularly evident among international travelers seeking flexibility and affordability. 

RIYADH: Saudi Aramco has reduced its official selling prices for propane and butane for May 2025, according to a company statement issued on Tuesday.

The price of propane was cut by $5 per tonne to $610, while butane saw a steeper reduction of $15 per tonne, bringing it to $590. The adjustments reflect shifts in market conditions and follow a downward trend from the previous month.

Propane and butane, both classified as liquefied petroleum gas, are widely used for heating, as vehicle fuel, and in the petrochemical industry. Their differing boiling points make each suitable for distinct industrial and domestic applications.

Aramco’s LPG prices are considered key benchmarks for supply contracts from the Middle East to the Asia-Pacific region.

The global LPG market is undergoing a significant shift as steep tariffs on US imports prompt Chinese buyers to replace American cargoes with supplies from the Middle East.

Meanwhile, US shipments are being redirected to Europe and other parts of Asia.

This realignment is expected to put downward pressure on prices and demand for shale gas byproducts, posing financial challenges for both US shale producers and Chinese petrochemical companies. At the same time, it is likely to drive increased interest in alternative feedstocks such as naphtha.

Middle Eastern suppliers are emerging as key beneficiaries, filling the gap left by reduced US exports to China. In addition, opportunistic buyers in Asian markets like Japan and India are capitalizing on the price drops to secure more favorable deals.