
Infrastructure led May's SAR 30B in Saudi project awards, with the Aseer-Jazan expressway and Riyadh road projects topping the list. June could see 20 more contracts.
May was the biggest month for Saudi project awards so far in 2026, with SAR 30 billion spread across 18 contracts, the Saudi Contractors Authority said in its monthly construction sector report. The infrastructure sector took the largest slice – 10 projects worth over SAR 25 billion, or 55% of the total by count. Manufacturing and construction each accounted for 17% of awarded projects, while water and energy made up 11%.
Geographically, the Makkah region drew the most projects at seven, representing 39% of the total. The Aseer region captured the biggest value, with over SAR 18 billion in awards, driven largely by the Aseer-Jazan expressway. Riyadh came next at over SAR 8 billion. Other large awards included the Sheikh Jaber Al-Sabah Road in Riyadh and several major construction, infrastructure, and water-sector projects.
The top entities by project value were the Ministry of Transport, the National Center for Privatization & PPP, and the Aseer Region Development Authority, which jointly awarded a project worth over SAR 18 billion, the SCA report said.
Looking ahead to June, the SCA expects 20 projects to be awarded, with more than 47% in the construction sector. Nearly half of those are concentrated in the Eastern Province and Riyadh. Project owners are expected to include the Public Investment Fund, Al-Khafji Joint Operations, the Ministry of Environment, Water and Agriculture, Saudi Aramco, Baoshan Iron & Steel, and the Royal Saudi Land Forces.
The report also included GDP projections for the first quarter of 2026, based on an SCA study from 2025. Estimates put GDP between SAR 1.18 trillion and SAR 1.35 trillion, with the non-oil sector ranging from SAR 636 billion to SAR 746 billion. The construction sector's contribution is forecast at SAR 81 billion to SAR 106 billion for the same period.
The May award pace suggests the Kingdom's infrastructure push remains on a strong trajectory, with transport and regional development projects driving the bulk of spending.
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