A General Overview of Construction Industry in Saudi Arabia

best construction companies in saudi arabia

Saudi Arabia, the largest explorer of oil in the world, the largest economy in the Gulf Cooperation Council (GCC) region, has announced and initiated numerous local, national and international infrastructure projects in the construction sector as part of their Vision 2030 program.

Supported by foreign investments and national funds, they are in a journey of powering their construction sector through mega projects, large scale development projects, infrastructure reformations etc.

Most of these construction projects in the Kingdom of Saudi, are handed over to the engineering and construction companies in Saudi Arabia upon EPC agreements so that they have full responsibility over the designing, engineering, procurement and construction of the projects under the client guidance. 

Saudi Arabian Construction Market is divided among four major industries, they are:

Residential Construction Industry

The rising population and the lack of affordable housing has always been a challenge for the government. As a result of which, Vision 2030 is investing a considerable amount of money in housing and infrastructure development projects.

The construction plans, patterns, value, space, volume, etc. varies according to different factors such as:

  • Housing type of multi-family or single family
  • Location of housing in Key cities of Tier – 1, Tier – 2 or Tier – 3 segmentation
  • Luxury, mid-tier or an affordable house depending on the income level of the owner
  • Varying stages of construction (new construction, extension works or house maintenance)

Commercial Construction Industry

Saudi government holds a very liberalised attitude towards the growth of construction works in the private sector especially the commercial industry.

Enhanced hospitality and infrastructural facilities in commercial buildings is a key feature of attracting international tourism and much more. Intensive construction works in the commercial industry are happening in:

  • Grade A, Grade B, and Grade C Office Buildings
  • Retail buildings
  • Hospitality and luxury buildings, including international hotels
  • Comfortable Restaurants
  • Entertainment Centers 
  • Sports Stadiums, courts and other sport related facilities

Industrial Construction Works

Saudi Arabia is a major hub of industries and manufacturing units much needed for the economic development of the country as a whole.

These industries are extensively in need of safety construction methods, control systems, cabling, piping, ductworks, full maintenance of machinery, etc.

These national, multinational and local industries established in Saudi Arabia are a major work source for construction industries. 

  • Manufacturing plants
  • Chemical & pharmaceutical industries
  • Metal & material processing units
  • Oil & Gas Industry
  • Fertilizer Producers
  • Steel & Cement Industry etc. 

Public Sector Construction Industry

All the public sector constructions under the direct authority of government is the largest contributor to the construction sector expansion.

High standard public facilities and infrastructure are the front face of the Kingdom of Saudi Arabia, thus they are always in renovation and maintenance enhancing the construction sector widely.

The public sector facilities include:

  • Hospitals and Healthcare Centres
  • Schools, Colleges and other Educational institutions
  • Transportation Facilities like:
  • National and International Airports
  • Numerous Seaports
  • Railway lines and stations
  • Highways and high roads

The best construction companies in Saudi Arabia in the private and public sector extensively provide quality construction services with their own talented team of experienced and knowledgeable professionals.

All the construction works in mechanical, civil, electrical and engineering fields are carried out by the respective professionals within the field of construction.