The total value of hotel construction contracts awarded in Saudi Arabia hit some $66 billion in 2011, according to the latest research, a six per cent increase on the previous year.
Data from Meed Insight reveals the steep slowdown in activity in the UAE means Saudi Arabia is now by far the largest projects market in the region, worth almost as much as the other five GCC states combined.
With more than $300 billion worth of projects planned and un-awarded, the kingdom has also by far the largest future projects market.
These project opportunities are highlighted in the Saudi Arabia Projects Market Report 2012, the latest report to be published by MEED Insight, the research and analysis arm of MEED.
“For most companies and professionals involved in the regional projects market the sheer size and potential of the Saudi Arabia projects market makes it the number one opportunity in the region,” says Ed James, head of MEED Insight.
“With the UAE projects market declining, and Qatar yet to really get going with its project plans, Saudi Arabia is the only GCC projects market to offer immediate opportunities for many companies.”
“What’s equally important is that the Saudi projects market is based on a fundamental need for investment rather than speculation.
“The combination of this need and the ability to pay to meet this need will ensure that market can only go from strength to strength, as such, MEED Insight forecasts that the Saudi Arabia projects market will grow ten per cent to $72bn worth of contract awards in 2012 spurred by increased investments in the construction, petrochemicals and power sectors,” concluded James.