Business

How the reopening of theatres in Saudi Arabia has changed the game of movie business

It has been four years since Saudi Arabia lifted a three-decades-long ban on cinemas, part of a series of social reforms by the powerful Prince Mohammed bin Salman.

Without cinemas, most Saudis watched films via satellite TV, DVDs, or the internet. A 2014 study showed that Saudis watch films online weekly.

Government data said that Saudis already spend $30 billion close to 5% of GDP on entertainment and hospitality elsewhere in the Middle East and more liberal cities in the surrounding region, such as Dubai and Manama, the capital of Bahrain.

Now the aftermath of the lifting ban has shown incredible growth. The Saudi government estimates that the cinema sector will contribute more than SR90bn ($24bn) to the country’s economy by 2030, creating 30,000 permanent jobs and 130,000 temporary jobs in the process.

More than 50 movie theaters, operating some 430 screens, have been established across the Kingdom, managed by Vox Cinemas, Muvi, Cinepolis, AMC, and Empire

Minister of Culture and Information Awwad Alawwad said that lifting the ban was a “watershed moment” that will boost the country’s economy.

 In the 1930s, in the Eastern Province, Saudi Arabia’s first cinemas appeared which was made by Westerner oil workers.

In the 1980s, authorities shut down cinemas because of religious objections after the 1979 terrorist attack on Makkah’s Grand Mosque.

Nahar Al-Hamrani, a producer and managing director of AlMaha Movies in Jeddah, would fly two-and-a-half hours to Dubai to catch a movie.

He said that sometimes he would just go to watch a film, grab a bite to eat, and head back home again. As soon as the situation changed in Saudi and cinemas were opened everything changed.

“It’s enjoyable, handy, and, for some odd cause, there’s simply one thing completely different about going to the cinemas right here. It’s proper in our yard.” He added.

The industry noticed a theatrical field workplace market progress value of $238 million in 2021 greater than double the earlier year takings of $122 million, dampened by the COVID-19 pandemic.

Global Business Magazine

Recent Posts

Dubai real estate delivers AED 4.6B net gain for investors in March

Market registers 36,658 residential tenancy contracts worth AED3.16 billion as rents show YoY increases Dubai,…

23 hours ago

Dubai’s leading developers have sold vast majority of homes scheduled for delivery this year

fäm Properties analysis shows city’s 4-year pipeline 71.45% committed, as absorption rate leaves major global…

23 hours ago

FIA MEMBER CLUBS UNITE IN MONTENEGRO TO ADVANCE MOBILITY AND MOTOR SPORT IN MIDDLE EAST, EUROPE AND AFRICA

FIA President H.E. Mohammed Ben Sulayem highlights key challenges and opportunities shaping motorsport and mobility…

24 hours ago

Iraq Signals Rapid Oil Export Recovery Once Key Shipping Route Reopens

Basra officials say output can rebound within days as Hormuz disruption continues to weigh on…

2 days ago

UAE Unveils Landmark R&D Tax Incentive Framework to Boost Innovation Economy

New regime offers up to 50% tax relief, setting the stage for research-led growth and…

2 weeks ago

Dubai’s Bankers Assess Post-Conflict Reality as Economic Pressures Mount

Tourism slowdown, real estate stress, and financial volatility drive calls for policy intervention Nearly a…

3 weeks ago