Saudi Arabia is set to become the world’s largest construction market by 2028, driven by Vision 2030 and over $1.25 trillion in transformative projects.
June 17, 2025
Saudi Arabia is on track to become the world’s largest construction market by 2028, with a projected construction output of $181.5 billion, according to Knight Frank. This marks a 28% increase from $141.5 billion in 2023, underscoring the Kingdom’s accelerating transformation under Vision 2030.
The scale of development is unprecedented: over $1.25 trillion worth of projects have been announced, spanning residential, infrastructure, tourism, and energy sectors. In 2023, residential construction accounted for 31% of total output, reflecting demand for over 660,000 new homes. Simultaneously, the Kingdom is preparing to accommodate 320,000 hotel keys and millions of square meters of commercial and office space.
Riyadh, in particular, has emerged as a strategic development hub, with major urban expansions designed to support global events such as Expo 2030 and the FIFA World Cup 2034. The capital’s population is expected to nearly double by 2030, necessitating rapid infrastructure upgrades and real estate development.
Since overtaking the UAE in 2019, Saudi Arabia has become the largest construction market in the GCC, now representing 40% of total regional contract value. The momentum is attracting significant foreign investment and international contractors. Firms from China, Turkey, India, and the Netherlands are increasingly establishing operations in the Kingdom to meet surging demand — a sign of both opportunity and supply chain strain.
Giga-projects like NEOM, King Salman International Airport, and the Riyadh Metro are reshaping the landscape. As these initiatives gain pace, so does the demand for streamlined, reliable procurement of construction materials and equipment.
As the Kingdom enters this new chapter, BuildMate is playing a critical role in supporting the sector’s supply chain efficiency. Our digital platform connects contractors with verified suppliers across Saudi Arabia, optimizing the procurement process for construction materials and equipment. By streamlining sourcing, reducing lead times, and enhancing transparency, BuildMate empowers stakeholders to build at the scale and speed the market now demands.
