According to Global Blue’s 'Insights into Tourists Spending Q2 2014' report, tax-free spending grew by six percent compared to Q2 2013. The Global Blue report accounts for VAT refunds that are operated at Hariri International Airport (HIA) and other borders.

Joe Yaacoub, Country Manager of Global Blue, said that this positive trend might prevail during Q3 (July through August), depending on security conditions.  Also, comparing the first half of the year to the same phase last year, spending was down by six percent.

The report said that during the April-to-June second quarter, KSA tourists were topping the tourists list of VAT refunds in the local market, at 16 percent of the total.  Additionally, during the first half of 2014, Saudis were also the number one spenders (14 percent), followed by Emiratis (13 percent), and Kuwaitis (eight percent).

Comparing the second quarter, positive activity was witnessed in most local regions, except for Kesserwan, where it was down by 20 percent year on year. Baabda, by contrast, witnessed a 93 percent growth, mainly due to the activity of the Beirut City Center mall.