Riyadh - Sharikat Mubasher: Saudi Arabia seized 39% of the total construction projects in the Middle East and North Africa (MENA) region during the first quarter (Q1) of 2024, with a $1.5 trillion pipeline of unawarded projects, according to a recent report.

JLL’s Q1 2024 report revealed that the total construction projects in the MENA region are estimated at $3.9 trillion.

Within the Kingdom’s pipeline, the construction assets sector represented 62% of the overall projects, while transportation, infrastructure, and other utilities accounted for 38%.

The report highlighted the robust expansion of the construction sector in the Kingdom, evident from the upward trajectory of the Construction Activity Index (CAI) in Q4 2023. It further stated that the Kingdom is set for a potential 2.1% gross domestic product (GDP) growth in 2024 and 5.9% in 2025.

Laura Morgan, Market Intelligence Lead for Middle East and Africa (MEA) at JLL, said: “Economic growth, burgeoning population, and modernization have made Saudi Arabia the most active player in the Middle East construction market, with the real estate sector leading the Kingdom’s projects market in 2023.”

“The impressive resilience of the sector in the face of global uncertainties points to the success of the Kingdom’s economic diversification strategies,” Morgan added.

Moreover, the report affirmed that Saudi Arabia’s progress on numerous Vision 2030 giga projects and infrastructure developments ahead of the upcoming EXPO 2030, has “cemented the Kingdom’s position as a leader in construction activity regionally and globally.”

JLL is a leading global commercial real estate and investment management company that helps clients buy, build, occupy, manage, and invest in a variety of commercial, industrial, hotel, residential, and retail properties.