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Home » World News » UAE » Saudi Arabia expands alcohol sales, sparking long queues and high prices

Saudi Arabia expands alcohol sales, sparking long queues and high prices

Phones and cameras are banned inside, eyewear are inspected for smart glasses

December 25, 2025
in UAE
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Saudi Arabia has quietly expanded access to its sole alcohol store, now permitting wealthy foreign residents to purchase alcoholic beverages. This marks the latest step in the once-ultraconservative kingdom’s liberalisation drive.

Despite no official announcement, news has spread, leading to long queues of cars and people at the discreet, unmarked outlet in Riyadh’s Diplomatic Quarter.

The store, which opened in January 2024 for non-Muslim diplomats, now allows non-Muslim foreigners holding Premium Residency to buy. This permit is granted to those with specialised skills, investors, and entrepreneurs.

Saudi Arabia, home to the holiest sites in Islam, has banned alcohol since the early 1950s. The store is widely seen as a way to cautiously test the controlled sale of alcohol.

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Saudi Arabia’s de facto ruler, Crown Prince Mohammed bin Salman, and his father, King Salman, have pursued a dramatic liberalization policy in the kingdom, aiming to attract tourism, boost international business and reduce economic dependence on crude oil.

The kingdom, which adheres to Islamic Sharia law, has opened movie theaters, allowed women to drive and hosted major music festivals. But political speech and dissent remain strictly criminalized, potentially at the penalty of death.

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Alcohol remains banned for the general public.

Festivalgoers gather near food and beverage stands, including a booth serving nonalcoholic beer, during the Soundstorm music festival in Riyadh, Saudi Arabia, Thursday, Dec. 11, 2025. (AP Photo/Baraa Anwer) (Copyright 2025 The Associated Press. All rights reserved.)
Festivalgoers gather near food and beverage stands, including a booth serving nonalcoholic beer, during the Soundstorm music festival in Riyadh, Saudi Arabia, Thursday, Dec. 11, 2025. (AP Photo/Baraa Anwer) (Copyright 2025 The Associated Press. All rights reserved.)

The unmarked store resembles a duty-free shop. Its ownership remains officially undisclosed.

Security is strict. Every visitor is subject to eligibility checks and frisking before entry. Phones and cameras are banned inside, and staff even inspect eyewear for smart glasses.

The Associated Press spoke to several customers leaving the store. They spoke on condition of anonymity because of the stigma around alcohol.

Prices are sharply elevated, they said. Diplomats are exempt from taxes on their purchases, but Premium Residency holders are not.

The customers described the store as relatively well-stocked, though some said the selection of beer and wine was limited.

The Premium Residency permit was created as part of the kingdom’s drive to attract global expertise. Unlike other residencies, it doesn’t require a Saudi sponsor, and it offers benefits including the right to own property, start a business and sponsor family. It requires high incomes or large investments to qualify.

Saudis and other residents who want a drink often travel to the neighboring island of Bahrain, where alcohol is legally available to Muslims and non-Muslims. On weekends and holidays, the island sees an influx of visitors from Saudi Arabia and across the Gulf, making it a popular getaway. The more expensive option is to go to Dubai in the United Arab Emirates.

Others resort to smuggled alcohol, which can be extremely expensive, or to bootleg booze — often homemade and risky, using unsafe materials.

Some people in Saudi Arabia enjoy alcohol-free beverages as a substitute for the real thing or to capture the aesthetic of drinking, often snapping photos for social media. At major events and festivals, it’s not uncommon to see long lines forming at alcohol-free beer stands, especially among young Saudis and visitors looking to partake in the vibe.

On Nov. 25, Reuters reported that Saudi Arabia plans to open two additional restricted-access alcohol stores in Dhahran and Jeddah, expanding a cautious set of reforms that permit limited sales to non-Muslim foreign residents and diplomats.

Sources said both new stores are expected to open in 2026.

The development followed Saudi Tourism Minister Ahmed al-Khateeb’s statement in October that the kingdom has not taken any steps to lift the ban on alcohol sales.

When asked whether Saudi Arabia plans to relax cultural restrictions, such as alcohol laws or beach dress codes, al-Khateeb described it as a “usual question,” reaffirming that the kingdom remains focused on offering cultural, historical and entertainment experiences within its values and traditions.

King Abdulaziz, Saudi Arabia’s founding monarch, banned the sale after a 1951 incident in which one of his sons, Prince Mishari, became intoxicated and used a shotgun to kill British vice consul Cyril Ousman in Jeddah.

Tags: AlcoholSaudi Arabia
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