Saudi Projects Reach $2.07 Trillion Value
The total value of projects planned or underway across Saudi Arabia has reached $2.07 trillion as of the first half of 2026, according to Knight Frank's latest Saudi Arabia Construction Landscape Review. This figure underscores the Kingdom's ambitious development goals under Vision 2030. Of this total, $1.23 trillion is attributed to construction and real estate projects, while the remaining $940 billion encompasses sectors such as power, transport, industrial, water, chemical, gas, and oil.
Construction remains a significant component of Saudi Arabia's development activities, with sector output projected to grow from approximately $179.4 billion in 2025 to $190.4 billion in 2026, and further to around $250.2 billion by 2030. However, regional conflicts have introduced additional challenges, affecting shipping, supply chains, and logistics, which in turn impact procurement, project timelines, and delivery costs.
Faisal Durrani, Partner and Head of Research, MENA at Knight Frank, highlighted the scale of the project pipeline, noting that the ongoing regional conflict has made the delivery environment more challenging. Rising costs and potential supply-chain disruptions are putting pressure on project economics, necessitating potential rephasing or reassessment of some projects.
Between 2020 and August 2026, approximately $293.1 billion worth of construction, industrial, and transport contracts were awarded across Saudi Arabia. Riyadh province accounted for $135.4 billion of this, including $96.1 billion in construction contracts. Makkah and the Eastern Province followed with $48.1 billion and $39.9 billion, respectively.
Mohamed Nabil, Regional Partner and Head of Project and Development Services, MENA at Knight Frank, noted the increased demands on developers and contractors due to rising material costs and supply-chain disruptions. Reinforcing steel bar prices rose by 24%, iron-binding wire by 19.6%, and aluminum by 13.9% between January and July 2026, further complicating project budgets and timelines.
