Business · Companies · 2 hrs ago
Indonesia’s Hajj fund explores investments in Saudi hotels and services
Indonesia’s Hajj Fund Management Agency, BPKH, is exploring direct investments in Hajj services in Saudi Arabia.
It is looking at accommodation, catering and logistics in Makkah and Madinah, where Indonesian pilgrims travel for the Hajj.
BPKH says investment could help limit exposure to currency and inflation risks and support more reliable services for Indonesian pilgrims.
Officials say any investment must follow regulations, comply with Islamic principles and protect pilgrims’ funds.
Separately, state investment firm Danantara is developing the Kampung Haji project in Makkah and has acquired the 1,461-room Novotel Makkah Thakher City.
Danantara is awaiting the result of a tender for another site near the Grand Mosque; if successful, it would have two land assets for the project, which is planned to accommodate about 18,000 pilgrims.
Indonesia’s Hajj Fund Management Agency is exploring direct investments in accommodation, catering and logistics in Makkah and Madinah.
BPKH says strategic investments could help reduce currency and inflation risks and improve services for Indonesian pilgrims.
Officials say investment decisions must follow regulations, Islamic principles and prudent risk management.
The exploration comes as state investment agency Danantara develops a wider Hajj village project in Makkah.
- Who
- Indonesia’s Hajj Fund Management Agency (BPKH) is exploring the investments.
- What
- It is considering direct investments in accommodation, catering and logistics serving Hajj pilgrims.
- When
- BPKH’s plans were discussed on 15 October 2026.
- Where
- The proposed investments are in Makkah and Madinah, Saudi Arabia.
- Why
- BPKH says they could help reduce currency and inflation risks and support better, more reliable services for Indonesian pilgrims.
This story does not have two clearly opposing sides.
Danantara had secured the Saudi government’s trust to manage the Thakher City area.
BPKH officials discussed exploring investments in Hajj accommodation, catering and logistics at the Hajj Fund Forum in Jakarta.
Danantara said it was waiting for the tender result for Plot No. 3 in Ajyad Al Sadd.
- Investment sectors
- Accommodation, catering and logistics
- Target cities
- Makkah and Madinah
- Ajyad Al Sadd plot
- 32.2 hectares, 650 metres from the Grand Mosque
- Thakher City planned capacity
- About 18,000 pilgrims at a time
- Novotel Makkah Thakher City
- 1,461 rooms for about 4,400 pilgrims
What people are saying
In line with Saudi Vision 2030, we need to strengthen our role not only as users of Hajj services, but also as strategic investment partners in the Hajj ecosystem—particularly in accommodation, catering and logistics in Makkah and Madinah.
Investment decisions must still respect institutional mandates, applicable regulations, compliance with sharia principles, and prudent risk management.
We are currently waiting for the tender results for Plot No. 3 in the Ajyad Al Sadd area, a 32.2-hectare plot just 650 metres from the Grand Mosque.