RIYADH: Saudi Arabia’s construction costs rose at a steady pace in November, signaling resilience in the sector as the Kingdom continues to manage rising labor and energy expenses.
The Construction Cost Index climbed to 101.75 points in November, up 1 percent from a year earlier and broadly unchanged from October, according to data from the General Authority for Statistics.
The steady momentum in Saudi Arabia’s construction sector aligns with a broader trend across the Gulf Cooperation Council, as regional economies push to diversify away from hydrocarbons.
In July, real estate consultancy Knight Frank said Saudi Arabia’s construction output value is expected to reach $191 billion by 2029, representing a 29.05 percent increase from 2024, driven by residential development, ongoing giga-projects and rising demand for office space.
In its latest report, GASTAT stated: “The CCI recorded a 1 percent increase in November 2025, maintaining the same growth rate observed in October 2025. This increase is mainly attributed to a 1 percent rise in construction costs for the residential sector and a 1 percent rise in construction costs for the non-residential sector.”
