Saudi Arabia Architectural, Engineering, and Construction (AEC) Market

Saudi Arabia Architectural, Engineering, and Construction (AEC) Market Overview:

The Saudi Arabia architectural, engineering, and construction (AEC) market size reached USD 93.6 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 205.9 Million by ​2033​, exhibiting a growth rate (CAGR) of 8.2% during ​2025-2033​. The market is driven by the growing improvements in the infrastructure of the country, rapid urban development levels as more people are seeking better housing facilities and rise in foreign direct investment (FDI) and private sector participation in construction and infrastructure industries.

Saudi Arabia Architectural, Engineering, and Construction (AEC) Market Trends:

Government Initiatives and Vision 2030

Saudi Arabia's Vision 2030 is a revolutionary economic and social master plan that is transforming the infrastructure and urban development of the country. As part of this, the government is making substantial investments in mega projects, such as new cities, transport networks, and tourism destinations. In 2024, the Saudi government sanctioned a major 2025 budget of SR1.3tn ($342.7bn) for facilitating improvements in the construction sector. The main projects including NEOM, the Red Sea Project, and the construction of the Qiddiya entertainment city are driving the market. The projects not only demand sophisticated engineering solutions but also create a demand for creative architectural designs and environment friendly construction practices. The government's efforts to diversify the economy from its reliance on oil and enhance the welfare of its people is one of the key drivers of the AEC market.

Heightened Urban Development

Saudi Arabia is experiencing rapid urban development levels as more people are seeking better housing facilities. The demographic change is also driving the demand for commercial and mixed-use complexes. Increasing population and a young age profile is catalyzing the demand for greater infrastructure, housing developments, schools, healthcare, and recreational spaces. The government is also focusing on the creation of smart cities, such as upgrading the housing market to provide for the growing urban population. With the growing urban migration, there is a high need for quality, affordable homes and well-planned urban settings. Moreover, the focus on sustainable growth and energy-efficient construction is also influencing the course of building activities. In 2024, the Smart City Saudi Expo 2024 was conducted as a major step in transforming the future of urban development in the country. Various participants in the expo presented solutions associated with Internet of Things (IoT) integration and digital infrastructure.

Private Sector Investment and Foreign Partnerships

Saudi Arabia is experiencing a rise in foreign direct investment (FDI) and private sector participation in its construction and infrastructure industries. The government is encouraging private sector entry through public-private partnerships (PPPs) and other investment schemes with the aim of enhancing the economic diversification of the nation. Global companies are increasingly penetrating the Saudi market due to the size of current and future projects. These partnerships bring in cutting-edge technologies, engineering skills, and architectural innovations that are essential for the modernization of the construction environment. Additionally, the Saudi government is deregulating its regulatory systems to facilitate the ease with which foreign firms can do business in the kingdom. The resulting capital and expertise inflow is also speeding up the construction pace, influencing the demand for skilled workers positively. The Saudi Arabia construction market size is expected to reach USD 135.6 Billion by 2033.

Saudi Arabia Architectural, Engineering, and Construction (AEC) Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the region level for ​2025-2033​. Our report has categorized the market based on product, deployment mode, enterprise size, and end user.

Product Insights:

• Software 
• Services 

The report has provided a detailed breakup and analysis of the market based on the product. This includes software and services.

Deployment Mode Insights:

• On-premises
• Cloud-based

A detailed breakup and analysis of the market based on the deployment mode have also been provided in the report. This includes on-premises and cloud-based.

Enterprise Size Insights:

• Small and Medium-sized Enterprises (SMEs) 
• Large Enterprises

A detailed breakup and analysis of the market based on the enterprise size have also been provided in the report. This includes small and medium-sized enterprises (SMEs) and large enterprises.

End User Insights:

• Construction and Architecture Companies 
• Education 
• Others

A detailed breakup and analysis of the market based on the end use have also been provided in the report. This includes construction and architecture companies, education, and others.

Regional Insights:

• Northern and Central Region 
• Western Region 
• Eastern Region 
• Southern Region 

The report has also provided a comprehensive analysis of all the major regional markets, which include northern and central region, western region, eastern region, and southern region.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Saudi Arabia Architectural, Engineering, and Construction (AEC) Market Report Coverage:

Key Questions Answered in This Report:

• How has the Saudi Arabia architectural, engineering, and construction (AEC) market performed so far and how will it perform in the coming years?
• What is the breakup of the Saudi Arabia architectural, engineering, and construction (AEC) market on the basis of product?
• What is the breakup of the Saudi Arabia architectural, engineering, and construction (AEC) market on the basis of deployment mode?
• What is the breakup of the Saudi Arabia architectural, engineering, and construction (AEC) market on the basis of enterprise size?
• What is the breakup of the Saudi Arabia architectural, engineering, and construction (AEC) market on the basis of end user?
• What are the various stages in the value chain of the Saudi Arabia architectural, engineering, and construction (AEC) market? 
• What are the key driving factors and challenges in the Saudi Arabia architectural, engineering, and construction (AEC) market?
• What is the structure of the Saudi Arabia architectural, engineering, and construction (AEC) market and who are the key players?
• What is the degree of competition in the Saudi Arabia architectural, engineering, and construction (AEC) market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Saudi Arabia architectural, engineering, and construction (AEC) market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Saudi Arabia architectural, engineering, and construction (AEC) market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Saudi Arabia architectural, engineering, and construction (AEC) industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.