08 December, 2019

Saudi construction projects top $40bln by end 2019

Sector's share of GDP to double to 10 percent

A van drives past the construction site of Riyadh Metro, Saudi Arabia December 21, 2015. Image used for illustrative purpose.

A van drives past the construction site of Riyadh Metro, Saudi Arabia December 21, 2015. Image used for illustrative purpose.

REUTERS/Faisal Al Nasser

08 December 2019

Contracts awarded by the Saudi government in the construction sector are expected to surpass $40 billion by the end of 2019, the Secretary General of Saudi Contractors' Authority has said.

Mubarak Al-Suwaid said a large number of the projects are part of Vision 2030 which aims to diversify the Saudi oil-reliant economy by pumping more investments in non-oil projects.

He was quoted by the Saudi Arabic language daily Al-Riyadh as saying the projects are expected to double the construction sector's share of GDP from around 5 percent in 2018 to nearly 10 percent by 2030.

"There is a sharp rise in projects awarded by the government this year...their value is expected to reach $44.1 billion by the end of the year," he said.

(Writing by Nadim Kawach; Editing by Anoop Menon)

(anoop.menon@refinitiv.com)

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