Arab Press

بالشعب و للشعب
Friday, Aug 22, 2025

Saudi construction sector continues growth with $6.7bn worth contracts in Q3 2022: Report

Saudi construction sector continues growth with $6.7bn worth contracts in Q3 2022: Report

The construction sector in Saudi Arabia maintained its growth momentum in the third quarter of 2022 with contracts worth SR25.2 billion ($6.7 billion) awarded during the period, according to a report by the US Saudi Business Council.
The report suggested that multiple Vision Realization Programs in the fields of tourism, housing, and infrastructure development drove the sector’s growth in the Kingdom.

Despite a 6 percent year-on-year drop in the number of contracts, the total value is on track to surpass the sector’s 2021 performance.  

The value of awarded contracts in the first three quarters rose 67 percent year on year to reach SR119.7 billion, the report showed.  

“The construction sector continues to perform at a fast pace as a number of supporting developments have aided in its surge,” said Albara’a Alwazir, director of economic research at the USSBC. 

He added: “The improved macroeconomic environment spurred by the Kingdom’s oil revenues coupled with ongoing non-oil sector initiatives have helped propel project awards.”  

The USSBC Contract Awards Index fell from 230 to 188 points in the third quarter for the first time since the third quarter of 2021. Nevertheless, the Kingdom’s construction activity is expected to rise in the coming period since it still lands well above the 100-point threshold. 

“The CAI’s performance during the first three quarters of 2022 reveals the resurging health of the construction sector whereby the value of construction projects under execution continue to soar,” the report said.

It further noted that the real estate sector grew by SR11.7 billion quarter on quarter and by SR6.3 billion or 102 percent year on year.

“Through the first three quarters of 2022, real estate gained the third highest value of awarded contracts by sector with SR23 billion or 19 percent of the total, after transportation and oil and gas,” it said. 

According to the report, the transportation sector witnessed a drop in awarded contracts during the third quarter yet maintained its position as the second highest-performing sector in the third quarter of 2022.  

The sector fell by SR18.9 billion compared to the previous quarter but increased by SR780 million or 30 percent year on year.  

“The 12 contracts awarded during the quarter were dominated by NEOM’s four infrastructure and earthwork packages pertaining to The Line’s high-speed rail link called The Spine,” the report added.  

The water sector fell by SR3.3 billion or 51 percent year-on-year and by SR2.9 billion or 47 percent quarter-on-quarter.

The report pointed out that the Tabuk region captured the largest share of awarded contracts worth SR10.2 billion or 42 percent of the total, driven by the real estate sector.

According to the report, the Riyadh region witnessed a diversified mix of awarded contracts in the civil, transportation, real estate, and healthcare sectors.  

The Eastern Province contributed SR3.7 billion or 15 percent of the total contracts awarded in the Kingdom, largely backed by the oil and gas sector.
Newsletter

Related Articles

Arab Press
0:00
0:00
Close
Dogfights in the Skies: Airbus on Track to Overtake Boeing and Claim Aviation Supremacy
Tim Cook Promises an AI Revolution at Apple: "One of the Most Significant Technologies of Our Generation"
Are AI Data Centres the Infrastructure of the Future or the Next Crisis?
Miles Worth Billions: How Airlines Generate Huge Profits
Zelenskyy Returns to White House Flanked by European Allies as Trump Pressures Land-Swap Deal with Putin
Beijing is moving into gold and other assets, diversifying away from the dollar
Trump Backs Putin’s Land-for-Peace Proposal Amid Kyiv’s Rejection
Zelenskyy to Visit Washington after Trump–Putin Summit Yields No Agreement
Iranian Protection Offers Chinese Vehicle Shipments a Cost Advantage over Japanese and Korean Makers
United States Sells Luxury Yacht Amadea, Valued at Approximately $325 Million, in First Sale of a Seized Russian Yacht Since the Invasion of Ukraine
Saudi Arabia accelerates renewables to curb domestic oil use
Cristiano Ronaldo and Georgina Rodríguez announce engagement
Asia-Pacific dominates world’s busiest flight routes, with South Korea’s Jeju–Seoul corridor leading global rankings
Private Welsh island with 19th-century fort listed for sale at over £3 million
Sam Altman challenges Elon Musk with plans for Neuralink rival
Australia to Recognize the State of Palestine at UN Assembly
The Collapse of the Programmer Dream: AI Experts Now the Real High-Earners
Armenia and Azerbaijan to Sign US-Brokered Framework Agreement for Nakhchivan Corridor
British Labour Government Utilizes Counter-Terrorism Tools for Social Media Monitoring Against Legitimate Critics
WhatsApp Deletes 6.8 Million Scam Accounts Amid Rising Global Fraud
Texas Residents Face Water Restrictions While AI Data Centers Consume Millions of Gallons
India Rejects U.S. Tariff Threat, Defends Russian Oil Purchases
United States Establishes Strategic Bitcoin Reserve and Digital Asset Stockpile
Thousands of Private ChatGPT Conversations Accidentally Indexed by Google
China Tightens Mineral Controls, Curtailing Critical Inputs for Western Defence Contractors
JPMorgan and Coinbase Unveil Partnership to Let Chase Cardholders Buy Crypto Directly
British Tourist Dies Following Hair Transplant in Turkey, Police Investigate
WhatsApp Users Targeted in New Scam Involving Account Takeovers
Trump Deploys Nuclear Submarines After Threats from Former Russian President Medvedev
Germany’s Economic Breakdown and the Return of Militarization: From Industrial Collapse to a New Offensive Strategy
Germany Enters Fiscal Crisis as Cabinet Approves €174 Billion in New Debt
IMF Upgrades Global Growth Forecast as Weaker Dollar Supports Outlook
Politics is a good business: Barack Obama’s Reported Net Worth Growth, 1990–2025
UN's Top Court Declares Environmental Protection a Legal Obligation Under International Law
"Crazy Thing": OpenAI's Sam Altman Warns Of AI Voice Fraud Crisis In Banking
Japanese Prime Minister Vows to Stay After Coalition Loses Upper House Majority
President Trump Diagnosed with Chronic Venous Insufficiency After Leg Swelling
Man Dies After Being Pulled Into MRI Machine Due to Metal Chain in New York Clinic
FIFA Pressured to Rethink World Cup Calendar Due to Climate Change
Iranian President Reportedly Injured During Israeli Strike on Secret Facility
Kurdistan Workers Party Takes Symbolic Step Towards Peace in Northern Iraq
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
AI Raises Alarms Over Long-Term Job Security
Russia Formally Recognizes Taliban Government in Afghanistan
Saudi Arabia Maintains Ties with Iran Despite Israel Conflict
Mediators Edge Closer to Israel-Hamas Ceasefire Agreement
Germany Seeks Taliban Deal to Deport Afghan Migrants
Emirates Airline Expands Market Share with New $20 Million Campaign
Robots Compete in Football Tournament in China Amid Injuries
×