KSA MARKET INTELLIGENCE

Conclusion

Closing thoughts

KSA’s construction sector stands at a transformative juncture. Bolstered by Vision 2030, giga-projects, and diversification efforts, the market has seen extraordinary momentum in 2025 — from record-breaking investments to sectoral shifts in tourism, logistics, digital infrastructure, and housing.

Looking ahead to 2026, the trajectory remains strong, yet challenges persist. Cost pressures, skills shortages, and procurement delays will continue to test resilience across the supply chain. However, continued reforms, digital innovation, and capacity-building efforts signal readiness for long-term growth.

Key takeaways and outlook for 2026:

  • Skills: Targeted upskilling and international recruitment expected to ease labour gaps in MEP and finishing trades.
  • Cost: Material and labour prices likely to stabilise by mid-2026, but remain elevated due to ongoing demand.
  • Technology: AI, BIM, and offsite construction will accelerate delivery and efficiency.
  • Localisation: Saudisation targets and supply chain investments will deepen national capability.
  • Sustainability: Projects will increasingly align with green standards, driven by public and private mandates.

By embracing innovation, nurturing local talent, and staying responsive to market dynamics, the sector is well-positioned to not only meet 2030 ambitions but also shape a resilient, globally competitive future.

We hope this report serves as a valuable resource for stakeholders, aiding in informed decision-making and strategic planning. As the market continues to evolve, we look forward to supporting the ongoing success and transformation of KSA’s construction sector.


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Construction cost performance
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