He pointed out the positive impact of reopening visits on stimulating trading activity in the mid-range hotel sector, ruling out any impact on four- or five-star hotels. He expects an increase in demand for mid-range family hotels in the coming days. He affirmed that the increase in the number of visitors will naturally lead to higher demand for various types of markets – commercial and central, as well as the retail sector, restaurants and cafés, which will enhance the benefits and revitalization of the commercial sector in particular. He said the banking sector will be at the forefront of sectors influencing real estate transactions due to the increased facilities provided by the government. He explained that these facilities will boost the desire of private real estate companies to develop projects that meet the needs of this segment, which will whet the appetite of banks to finance companies and stimulate the private sector. He stressed the importance of this decision in revitalizing the private health sector, which suffered and was significantly affected by the suspension of the ‘Afiya’ project. He anticipates higher demand for private health services after opening visit visas without granting visitors any facilities in the government health sector.

On the other hand, real estate expert Qais Al-Ghanim pointed out that discussing the economic impact of the decision is premature, as it requires at least six months to study the repercussions and analyze results. He explained that the real estate and economic benefits of these facilities are no less important than regulating the entry into and exit from the country, which guarantees national security. He stressed that the laws and facilities in general are necessary to revive the local economy on one hand, and regulate the mechanism for bringing in expatriates on the other hand, pointing out that the decision of the government to open visit visas (family, tourist and business) and its commitment to tighten security by imposing penalties on sponsors and manipulators among visitors will have the most significant impact on the growth and sustainability of the national economy, citing the efforts of the Ministry of Interior, led by Minister Sheikh Fahad Al-Yousef, in creating integrated laws and regulations to manage this file. He pointed out that the decision will contribute to stimulating the real estate market, particularly the hotel, apartment and commercial sectors, including restaurants, cafés and others, by stimulating purchasing activity.

“If these decisions are implemented within a limited period, the impact could be temporary and not enough to address the problem of vacant apartments, which still constitute about 18 percent of the total housing units in the country. The latest statistics from the Public Authority for Civil Information (PACI) revealed that the total number of housing units in the country has reached about 796,620 143,725 of which are vacant. Opening various types of visit visas will revitalize the short- and medium-term rental markets, which will directly impact real estate transactions and lead to about a seven to 10 percent increase in rents due to increased demand for furnished apartments and investment housing close to services and shopping centers,” he explained.

Real estate broker and appraiser Mohammad Al-Sagheer affirmed the importance of opening visit visas and facilitating the recruitment of expatriates and family reunification to stimulate real estate investment activity in terms of rentals and residential unit occupancy. He said the increased demand for apartments will lead to a seven to eight percent increase in rents in the future. “For example, small apartments measuring 60 square meters in an area like Hawally currently rent for about KD280. With the opening of visit visas, it is expected to stabilize at KD300, while the rent for similar apartments in Salmiya could reach KD325 to KD330. These options will support the investment sector, thus, increasing the sales rate for investment properties, which ranges between six to 6.25 percent, and will lead to an increase in the sales price and stabilize the rate,” he added.