What was the total value of construction contracts awarded in Saudi Arabia during the first half of 2026?

The total value of building contractor awards in Saudi Arabia reached **$32 billion** in the first half of 2026, nearly double the $17 billion awarded in the same period last year.

What was the largest single construction award in Saudi Arabia during H1 2026?

The largest single award was for **Amaya, a $4 billion tower in Jeddah**, a project for the Trump Organization and developer Dar Global.

How has the Public Investment Fund's (PIF) role changed in Saudi construction?

The PIF, previously the primary driver of growth, has taken a less active role in new project announcements, moving from a forecasted number one position to fifth among clients. Its share of contractor awards dropped from 65 percent in April to **below 5 percent in June**, reflecting a strategic shift towards greater private sector participation.

Did all construction sectors see growth in Saudi Arabia during H1 2026?

No, while building contractor awards nearly doubled and infrastructure awards reached $7 billion, power and water awards fell by almost **60 percent to $5 billion**. This decline was attributed to reallocation rather than broader market issues.

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Market·6 September 2026

Saudi Construction Surges 82% in H1 2026 as Private Sector Steps Up

Saudi Arabia's construction sector saw an 82% year-on-year increase in awarded contracts during the first half of 2026, indicating reduced reliance on the Public Investment Fund (PIF) as private sector involvement grows.

Saudi Arabia's construction sector experienced significant growth in the first six months of 2026, with awarded contracts jumping by 82 percent year-on-year, according to data from Scavo, the project-tracking platform of the Saudi Contractors Authority. This surge occurred despite the Public Investment Fund (PIF) taking a less active role in new project announcements.

The data, presented at the Big 5 Construct Saudi conference, highlights a shift in the kingdom's construction pipeline, with a reduced dependence on the PIF. The sovereign wealth fund, previously the main driver of large-scale growth, ranked fifth in value among clients announcing projects in the first half of 2026.

Key Clients and Major Projects

Adel Real Estate, the Royal Commission for Makkah City and Holy Sites, Al-Ittihad Club Company, and the Royal Commission for Riyadh City were the top four clients by value, surpassing the PIF. The largest individual award was for Amaya, a $4 billion tower in Jeddah for the Trump Organization and Dar Global. The $3 billion runway extension at King Salman International Airport in Riyadh was the second largest, representing the PIF's sole project in Scavo’s top 10 for H1 2026.

Shifting PIF Strategy

Changes in the PIF's strategy have been evident since late 2024, when it began cutting funding across its project portfolio companies. The fund's 2026-30 strategy, published in August, signals a "clear and expanding role for the private sector" and notably omits mention of flagship Neom developments like The Line and Trojena.

Building contractor awards almost doubled to $32 billion in the first half of 2026, up from $17 billion a year earlier. Infrastructure awards also nearly doubled, reaching $7 billion. Power and water awards, however, saw a nearly 60 percent decline to $5 billion, which Scavo attributed to reallocation rather than a broader issue. The PIF's share of contractor awards, which includes its units like Diriyah, Roshn, Qiddiya, and Rua Al Madinah, dropped significantly from 65 percent in April (driven by a single $2.06 billion Rua Al Madinah contract) to below 5 percent in June.

Frequently asked

Questions, answered

What was the total value of construction contracts awarded in Saudi Arabia during the first half of 2026?: The total value of building contractor awards in Saudi Arabia reached **$32 billion** in the first half of 2026, nearly double the $17 billion awarded in the same period last year.
Which entities led in awarding construction projects in Saudi Arabia during H1 2026?: The top four clients by value for awarded projects in H1 2026 were Adel Real Estate, the Royal Commission for Makkah City and Holy Sites, Al-Ittihad Club Company, and the Royal Commission for Riyadh City. The PIF ranked fifth.
What was the largest single construction award in Saudi Arabia during H1 2026?: The largest single award was for **Amaya, a $4 billion tower in Jeddah**, a project for the Trump Organization and developer Dar Global.
How has the Public Investment Fund's (PIF) role changed in Saudi construction?: The PIF, previously the primary driver of growth, has taken a less active role in new project announcements, moving from a forecasted number one position to fifth among clients. Its share of contractor awards dropped from 65 percent in April to **below 5 percent in June**, reflecting a strategic shift towards greater private sector participation.
Did all construction sectors see growth in Saudi Arabia during H1 2026?: No, while building contractor awards nearly doubled and infrastructure awards reached $7 billion, power and water awards fell by almost **60 percent to $5 billion**. This decline was attributed to reallocation rather than broader market issues.

Reported by

Google News — Abu Dhabi Real Estate (7d)

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This brief was summarised and rewritten by Gaia Living from public reporting. Figures and details reflect the original sources.

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