Forecast: Construction Value Added in Saudi Arabia

The Construction Value Added in Saudi Arabia exhibited a notable growth trajectory from 2013 to 2023, growing from $35.89 billion to $55.311 billion. The year-on-year variation was quite high in the initial years, peaking at 13.65% in 2014, but it started to moderate significantly by 2023, standing at 3.01%. This reflects a stabilization in the growth rate of the construction sector.

The Compound Annual Growth Rate (CAGR) over the last five years (2018-2023) averaged around 3.36%, indicating steady but moderate growth. The forecasted data from 2024 to 2028 suggests a continued upward trajectory, albeit at a slower pace with a forecasted 5-year CAGR of 2.04%, amounting to an overall growth rate of 10.61% by 2028.

Future trends to watch for include:

  • Investment in mega infrastructure projects driven by Vision 2030.
  • Policies promoting diversification of the economy and public-private partnerships.
  • Advancements in construction technology and sustainable building practices.