Saudi Arabia eyes alcohol outlets in Jeddah and Dammam to lure more foreign firms, travellers: Report

Saudi Arabia, the birthplace of Islam, is planning to open two new alcohol stores in the country as it eases restrictions to appeal to a more global workforce driving its economy, as per a Reuters report.

One of the outlets will be opened within the premises of state-owned oil giant Aramco, and will serve non-Muslim foreign staff.

The country is also launching one outlet in Dhahran in the east and another for diplomats in Jeddah, a port city.

Saudi Arabia had banned alcohol 73 years ago, and it was only in 2024 that the kingdom opened a shop in Riyadh.

A source told Reuters that both stores are expected to be opened in 2026.

However, the Saudi government has not replied to questions by Reuters and Aramco has declined to comment on the development.

No official change was made to Saudi Arabia's regulations when the initial Riyadh store was opened. The store, located inside a diplomatic quarter in a non-descript building, is popularly known as the "booze bunker".

Saudi reforms laws to attract international businesses, tourists

Besides easing the ban on alcohol, the country is also relaxing other norms in order to lure more international businesses and tourists.

Earlier, under Crown Prince Mohammed bin Salman, the country allowed women to drive in 2017, eased rules on segregation of men and women in public spaces, and curbed the powers of the religious police.

People can now go to the cinema as wel as dance in rave parties in the country, as per Reuters.

Saudi Arabia is wanting to diversify its economy to reduce its dependence on oil.

In may, an unverified media report had claimed that Saudi authorities were planning to allow the sale of alcohol to tourists for the 2034 FIFA World Cup. However, this claim was denied by a Saudi official.

The country is also looking to expand its portfolio in tourism, which includes plans to open around 17 hotels by May 2026.

"We do understand that some of the international travellers want to enjoy alcohol when they visit the Saudi destinations but nothing has changed yet," Saudi Tourism Minister Ahmed Al-Khateeb had told Reuters when asked about the country's plans regarding alcohol.

Asked if 'yet' means the plans could change, Khateeb replied, "I will leave it to you on how to elaborate on it."