The construction industry in Saudi Arabia is estimated to grow by 3% in real terms in 2026, supported by an increase in investments in transport infrastructure and renewable energy projects, coupled with the government allocations under the latest 2026 Budget. According to the Saudi Central Bank (SAMA), the overall real estate loans from banks rose by 6.4% year on year (YoY) at the end of Q1 2026, preceded by YoY growth of 7.7% at the end of Q4 and 10.8% at the end of Q3 2025. In December 2026, the Saudi Arabian Cabinet approved the general budget for the fiscal year 2026, which includes a total spending of SAR1.3 trillion ($346.7 billion) and revenues of approximately SAR1.2 trillion ($306.7 billion). The primary goal of the 2026 Budget is to advance the Vision 2030 initiatives through investment in major developments, by reducing oil dependency and boosting non-oil economic growth. According to the budget, 2026 will mark the start of a "third phase" of Vision 2030, accelerating the pace of progress and increasing growth opportunities to achieve a sustainable impact beyond 2030. Some of the major allocations under Saudi Arabia’s 2026 Budget include SAR259 billion ($69.1 billion) for health and social development sectors, SAR202 billion ($53.9 billion) for the education sector, and SAR35 billion ($9.3 billion) for the infrastructure and transportation sector.
Over the remainder of the forecast period, the construction industry is expected to register an annual average growth of 4.4% between 2027 and 2030, driven by development under the Saudi Vision 2030 and an increase in public-private investment in transport and housing infrastructure projects, coupled with the country’s plan to expand its railway network to 8,000km by 2030 up from 5,300km in 2024. In line with this, in April 2026, the government revealed that the Saudi Landbridge Project, one of the Kingdom’s largest transport infrastructure developments, is advancing toward construction with an estimated investment of SAR26.2 billion ($7 billion). The project will add more than 1,500km of new railway lines by 2034, including a 900km railway connecting Riyadh and Jeddah, providing direct freight access between the capital, King Abdullah Port, and Yanbu. Key components include the 35km Riyadh Rail Link, a double-track railway connecting the North-South Railway with the Eastern Railway Network.
The Construction in Saudi Arabia - Key Trends and Opportunities to 2030 (Q2 2026) report provides detailed market analysis, information, and insights into the Saudi Arabian construction industry, including:
Over the remainder of the forecast period, the construction industry is expected to register an annual average growth of 4.4% between 2027 and 2030, driven by development under the Saudi Vision 2030 and an increase in public-private investment in transport and housing infrastructure projects, coupled with the country’s plan to expand its railway network to 8,000km by 2030 up from 5,300km in 2024. In line with this, in April 2026, the government revealed that the Saudi Landbridge Project, one of the Kingdom’s largest transport infrastructure developments, is advancing toward construction with an estimated investment of SAR26.2 billion ($7 billion). The project will add more than 1,500km of new railway lines by 2034, including a 900km railway connecting Riyadh and Jeddah, providing direct freight access between the capital, King Abdullah Port, and Yanbu. Key components include the 35km Riyadh Rail Link, a double-track railway connecting the North-South Railway with the Eastern Railway Network.
The Construction in Saudi Arabia - Key Trends and Opportunities to 2030 (Q2 2026) report provides detailed market analysis, information, and insights into the Saudi Arabian construction industry, including:
- The Saudi Arabian construction industry's growth prospects by market, project type and construction activity
- Critical insight into the impact of industry trends and issues, as well as an analysis of key risks and opportunities in the Saudi Arabian construction industry
- Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline.
Scope
This report provides a comprehensive analysis of the construction industry in Saudi Arabia. It provides:
- Historical (2021-2025) and forecast (2026-2030) valuations of the construction industry in Saudi Arabia, featuring details of key growth drivers.
- Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
- Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
- Listings of major projects, in addition to details of leading contractors and consultants
Reasons to Buy
- Identify and evaluate market opportunities using our standardized valuation and forecasting methodologies
- Assess market growth potential at a micro-level with over 600 time-series data forecasts
- Understand the latest industry and market trends
- Formulate and validate business strategies using the analyst's critical and actionable insight
- Assess business risks, including cost, regulatory and competitive pressures
- Evaluate competitive risk and success factors
Table of Contents
1 Executive Summary2 Construction Industry: At-a-Glance6 Construction Market Data
3 Context
4 Construction Outlook
5 Key Industry Participants
7 Appendix
List of Tables
List of Figures
