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Saudi Reforms Expand: Kingdom Plans New Alcohol Stores for Non-Muslims

Credit: Reuters
Credit: Reuters
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New outlets in Dhahran and Jeddah mark the latest step in Saudi Arabia’s sweeping social and economic liberalisation.

Saudi Arabia is preparing to open two new alcohol stores serving non-Muslims, signalling a significant shift in its ongoing push to modernise social norms and attract global talent, tourists and investment.

New Outlets Planned in Dhahran and Jeddah

Sources briefed on the plan say Saudi Arabia will open new alcohol stores in Dhahran and Jeddah—the second and third such outlets since a 73-year ban took effect. The Dhahran store will be located inside an Aramco-owned compound, serving non-Muslim foreign employees at the state oil giant. In Jeddah, a similar outlet will cater to non-Muslim diplomats, many of whom operate from honorary consulates in the coastal city.

Both stores are expected to open in 2026, although official timelines have not been released. The Saudi government and Aramco have not commented on the development.

Expansion Follows Riyadh’s First Controlled Outlet

This step builds on the opening of the first official alcohol store in Riyadh in 2024, located in the diplomatic quarter and reportedly known among diplomats as the “booze bunker.” According to reports, access to that store has recently expanded beyond diplomats to include non-Muslim holders of Saudi Premium Residency. Before such regulated outlets, alcohol in the kingdom was mostly available through diplomatic mail, illicit markets, or informal production.

An employee pours a draft non-alcoholic beer at the A12 cafe in Riyadh, Saudi Arabia, November 24, 2025. Credit: Reuters

Part of Saudi Arabia’s Broader Social Transformation

The controlled easing of alcohol restrictions forms part of Crown Prince Mohammed bin Salman’s wider reform agenda to diversify the economy, attract tourists, and present a more globally accessible image. In recent years, Saudi Arabia has introduced sweeping changes including:

  • Allowing women to drive
  • Permitting cinemas and entertainment events
  • Relaxing gender segregation rules
  • Hosting large-scale music festivals and desert raves

These reforms aim to shift the kingdom away from reliance on oil and position it as a regional hub for travel, business, and investment.

Tourism Mega-Projects Remain “Dry”

Despite the liberalisation, the kingdom maintains strict limits. Even ultra-luxury tourism projects, like those under Red Sea Global, which will open 17 new hotels by next May, continue to prohibit alcohol. Officials previously denied rumours suggesting alcohol would be allowed in tourist zones ahead of the 2034 FIFA World Cup, reinforcing the sensitivity of the issue.

The duality reflects Saudi Arabia’s careful balancing act: broadening appeal to international visitors while preserving cultural and religious identity. The king remains the Custodian of the Two Holy Mosques, underscoring the country’s unique religious responsibilities.

Regional Context and Competitive Pressures

Alcohol availability varies across the Gulf, and Saudi Arabia remains among the most restrictive. Apart from Kuwait, other GCC states allow alcohol in designated venues with conditions. As Saudi Arabia intensifies efforts to draw foreign workers, investors, and companies, controlled access for non-Muslims is seen as a strategic step in making the kingdom more globally competitive.

Saudi Arabia’s plan to open new alcohol stores for non-Muslims marks another milestone in its rapid social transformation. For investors, expatriates, and regional observers—including those in Singapore and Southeast Asia—the development highlights how the kingdom is reshaping long-standing norms to align with its economic diversification goals while navigating cultural sensitivities and global expectations.

Sources: France 24 (2025) , The New Arab (2025)

Keywords: Saudi Alcohol Stores, Non Muslim Policies, Aramco Staff Access, Social Liberalisation, Crown Prince Reforms

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