Unlocking Investment Potential in Saudi Arabia's Hajj and Umrah Sector: A Focus on Indonesia and Malaysia

The Saudi Vision 2030 has catalyzed the transformation of Hajj and Umrah pilgrimages in the Kingdom of Saudi Arabia (KSA), presenting lucrative investment opportunities for foreign investors, particularly within the Islamic world. This research investigates potential Hajj and Umrah investment projects in Saudi Arabia with a particular emphasis on Indonesia and Malaysia due to their significant Muslim populations and potential strong economic ties with Saudi Arabia. Risk heat map analysis identifies food products and catering services as the sector with the most manageable risks for Indonesian investors. Utilizing the Trade Gravity Model, the study reveals macroeconomic indicators and trade competitiveness as key determinants of investment success. Furthermore, the research demonstrates that product complementarity is crucial in Saudi Arabia's market competition. This research primarily focuses on Indonesia and Malaysia, providing a foundation for future research to explore investment opportunities for the other ASEAN-4 countries. Findings suggest Indonesia has the potential to emerge as a leading player in the Hajj and Umrah sectors, particularly within the food and catering services domain. Beyond its economic implications, this research contributes to advancing Islamic economic studies. © 2025 Bina Nusantara University. All rights reserved.