Saudi Arabia has amended its Tourism Law and updated its regulatory regime to regulate the country’s growing tourism sector and adhere to the Vision 2030 goals of diversifying the Saudi economy. The Tourism Law, effective from March 25, 2023, operates alongside ten implementing regulations governing hotel management services and hotels. Hotel operators will need to establish licensed legal entities in the kingdom to manage or operate hotels and provide support services to tourists based on technical experience in managing accommodation facilities. The license issued would be categorised in four classifications for hotels ranging from one to five stars. Additionally, there are separate special classification criteria for hotels in the holy cities of Makkah and Madinah. Tourist facilities must also obtain regulatory licenses and approvals from various governmental agencies before the company is considered active and operational for the purposes of Saudi law. The new regulations aim to support tourism growth and provide a clearer regulatory framework for hotel operators in the Saudi market.