DUBLIN–(BUSINESS WIRE)–The “Saudi Arabia Construction Market Size, Trends and Forecasts by Sector – Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis, 2022-2026” report has been added to ResearchAndMarkets.com’s offering.
The construction industry in Saudi Arabia expanded by 1.3% in real terms last year, following growth of 1.9% in 2020, a relatively positive outcome given the disruption caused by the Coronavirus (COVID-19) pandemic.
The industry’s output in 2021 was supported by an improvement in global economic conditions, coupled with the easing of COVID-19 restrictions and recovery in oil prices. The industry is expected to register an annual average growth of 4.1% from 2023 to 2026, supported by the government’s efforts to develop transport and energy infrastructure, coupled with its focus on diversifying the economy away from oil.
The government has set out a SAR955 billion ($254.4 billion) budget for 2022, which includes an allocation of SAR42 billion ($11.2 billion) for transport infrastructure, SAR32 billion ($8.5 billion) for the general administration sector and SAR54 billion ($4.4 billion) for the economic resources sector.
During the Saudi budget forum that took place in mid-December 2021, the Ministry of Energy reported that it expects spending on power and renewable energy projects to reach SAR1.1 trillion ($293.3 billion) by 2030. Of the total, investment worth SAR430 billion ($114.7 billion) will be made on power transmission projects. The country also plans to spend SAR380 billion ($101.3 billion) on renewable energy and SAR142 billion ($37.9 billion) on energy distribution projects by 2030.
Forecast-period growth in the Saudi Arabian construction industry will also be supported by the SAR200 billion ($53.3 billion) ‘National Infrastructure Fund’, which launched in late October 2021. The fund will invest in water, transport, energy, education, health, and digital infrastructure projects until 2030.
It will contribute to the country’s plan of transforming its economy and making it less dependent on oil revenues; it will also provide innovative financing solutions, thereby enhancing the attractiveness of investment opportunities. In another recent development, in March 2022, the government announced that it will invest SAR35billion ($9.3 billion) on more than 60 water and sewerage projects, to make Saudi Arabia the largest water desalination market in the world. Upon completion of these projects, the country’s desalination capacity will nearly triple over the next six years to 7.5m2 of water per day by 2027.
Scope
- Historical (2017-2021) and forecast (2022-2026) 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
Key Topics Covered:
1 Executive Summary
2 Construction Industry: At-a-Glance
3 Context
3.1 Economic Performance
3.2 Political Environment and Policy
3.3 Demographics
3.4 COVID-19 Status
3.5 Risk Profile
4 Construction Outlook
4.1 All Construction
- Outlook
- Latest news and developments
- Construction Projects Momentum Index
4.2 Commercial Construction
- Outlook
- Project analytics
- Latest news and developments
4.3 Industrial Construction
- Outlook
- Project analytics
- Latest news and developments
4.4 Infrastructure Construction
- Outlook
- Project analytics
- Latest news and developments
4.5 Energy and Utilities Construction
- Outlook
- Project analytics
- Latest news and developments
4.6 Institutional Construction
- Outlook
- Project analytics
- Latest news and developments
4.7 Residential Construction
- Outlook
- Project analytics
- Latest news and developments
5 Key Industry Participants
5.1 Contractors
5.2 Consultants
6 Construction Market Data
For more information about this report visit https://www.researchandmarkets.com/r/708a3t