“From such crooked wood as that which man is made of, no straight thing can ever be built”. We are starting with this aphorism written by the well-known philosopher Immanuel Kant, to say that man is not perfect, and neither the society and the world we are living in. We are frequently surrounded by horrors and atrocities. How can one define the flare-up of the eternal conflict in the Gaza Strip? A humanitarian disaster first and foremost, that will have economic and commercial consequences that will be reflected not only in that region. This confrontation is not just between Hamas/Israel, because Hamas is first and foremost against the Palestinians, against Israel, and also against the West, modernity, progress and the market laws.
The conflict has much wider boundaries. The Abraham Accords signed in 2020 between Israel and the United Arab Emirates (and the United States) have generated a great economic dynamism in the region, but now in the light of the escalating Israel/Gaza conflict, what will happen to the economic, political and commercial relations? And what will happen in Saudi Arabia, always poised between tradition and modernity? The situation in Saudi Arabia raises interest and curiosity. Saudi Arabia is experiencing a moment of remarkable change with a boom of the international travel industry. The year 2022 concluded with 93,5 million visitors and 121% higher numbers than in the pre-pandemic period.
Saudi Arabia is the biggest business opportunity for the tourism operators now, and that is why for some years now the country has created a real flywheel for the entertainment economy. Global events such as Formula 1, Mdlbeast, Riyadh Season. The focus on played football is also increasing to Saudi Arabia: what are champions like Cristiano Ronaldo, Karim Benzema, Neymar, Firmino, Sadio Mané, Mahrez, Milinkovic-Savic doing in the Saudi league? Is the Saudi economy moving away from oil dependency? The answer can only be affirmative. Tourism is now the new oil in the Saudi monarchy’s imagination.
As part of Vision 2030, the country’s economic and social renewal project launched by Crown Prince Mohammed bin Salman, Riyadh is carrying out an unprecedented tourism development plan. Tourism development extended on 180 kilometres of Red Sea coastline in the north-western part of the country. A large and wild area with 50 islands, white beaches and dormant volcanoes. A genetical mutation. In 2019, for the first time in Saudi history, it was decided that entry visas to the kingdom would also be issued to the tourists, which could apply online and obtain them within ten minutes.
Considering that the Saudi crude oil will run out in a few generations, we can understand why the royal family has decided to invest part of its profits from Aramco, the national hydrocarbon company, to secure the kingdom’s future when the world will no longer buy oil, but hydrogen and lithium batteries for the cars. So much vivacity on the other side of the Red Sea… Will the flare-up of the Middle East conflict affect all of this?
by Marzio Nava
DETERGO Magazine # November 2023
