‎Saudi Arabia awarded contracts worth SAR 71.5 bln in Q4 2022: US-Saudi Business Council

‎Saudi Arabia awarded contracts worth SAR 71.5 bln in Q4 2022: US-Saudi Business Council

The value of contracts awarded in Saudi Arabia rose by 2% year-on-year (YoY) to SAR 71.5 billion in Q4 2022, according to a report issued by the US-Saudi Business Council.

The value of contracts surged 184% from SAR 25.2 billion in Q3 2022.

The Q4 2022 growth increased the total value of contracts awarded in 2022 to reach SAR 192.4 billion, up 35% YoY.

The construction sector continued to climb in 2022, as the value of contracts awarded returned to pre-pandemic levels.

The report pointed out that the growth in construction spending in the Kingdom was partially indicated by the government's increase in capital expenditures, which exceeded the budgeted value for 2022 by SAR 92 billion ($24.5 billion), an increase of 56% to SAR 143 billion ($38.3 billion). Meanwhile, capital expenditure witnessed an increase of SAR 26 billion ($7 billion), or 22% YoY.

The real estate sector ranked first in terms of the value of contracts awarded during Q4 2022 at SAR 38.9 billion. The energy sector followed at SAR 16.4 billion with the transport sector at SAR 6 billion.

The value of contracts awarded in these three sectors accounted for 85% of the total value of contracts awarded in Q4 2022.

The boom in the real