Aseer Development Authority (ASDA) is working to finalise the consortium that will undertake the Abha airport expansion under a public-private partnership (PPP) model, according to a news report. 

The expansion will be built north of the existing airport, increasing its capacity to 12 million passengers, Abdul Amir, Deputy CEO for Technical Affairs at ASDA, told Al-Eqtisadiah on Saturday.

Work on the project is expected to start in early 2027 and will be completed within five years. Engineering designs are 90 percent complete, the report said.

In September 2025, the team of Matarat, National Centre for Privatisation & PPP (NCP) and ASDA had announced  that four bidders are competing for the project.

Amir said private sector investment projects in the Aseer region have reached SAR 5 billion, primarily in the hospitality and hotel sectors.  

The site for the Public Investment Fund’s SAR 15 billion luxury hotel and entertainment project in Soudah Peaks is ready, with work anticipated to start within a year, he disclosed. The project is likely to be completed within three to five years, the official said.

In September 2023, Saudi Arabia’s Crown Prince and Prime Minister, Mohammed bin Salman, launched a masterplan to develop Soudah and parts of Rijal Almaa into Soudah Peaks, a luxury mountain tourism destination.

Amir said that work is underway to increase the capacity of King Khalid University Stadium, a venue for the 2034 FIFA World Cup, to seat 45,000 people. Work has begun on engineering designs, which are expected to be completed by year-end, he said.

(Editing by Anoop Menon) (anoop.menon@lseg.com)

Subscribe to our Projects' PULSE newsletter that brings you trustworthy news, updates and insights on project activities, developments, and partnerships across sectors in the Middle East and Africa.