Have you heard of Giga Projects in Saudi Arabia? Well, it is an ambitious plan of Saudi Arabia coupled with its mega plan of Saudi Vision 2030. This blog discusses Saudi Giga Projects and how it contributes strategically to the economic development and diversification of the country. So let’s get started!
What are Saudi Arabia Giga Projects?
Giga Projects of Saudi Arabia are the epicentre of the country’ economic growth and diversification. It is developed as part of crown prince Mohammad bin Salman’s Vision 2030 plan to transform the country. The series of giant developments that were presented at the Cityscape conference in Riyadh, are known as Giga projects of Saudi Arabia. Total in 14, each Giga project is a huge scale ambitious project and many of them are funded by the Public Investment Fund of Saudi Arabia. The Giga project named Mohammed bin Salman Non-profit City is funded by the crown prince himself.
Major Giga Projects in Saudi Arabia
As discussed above, Giga projects are Saudi Arabia’s ambitious projects to transform its economy to a global hub of opportunities. There are 14 Giga projects in total, which are as listed below:
- Neom Project
- Red Sea Project
- Qiddiya Project
- ROSHN
- Diriyah
- King Salman Park
- Jeddah Central
- New Murabba
- Saudi Downtown
- Masar Destination
- Al’Ula
- King Abdullah Financial District (KAFD)
- Mohammed bin Salman Non-profit City (MISK)
- SEVEN
Now let’s take each project and go in detail to delve deeper into each project to understand them better.
Neom Project
Neom meaning “new future,” is a vision for future, attracting forward thinking thinkers and entrepreneurs who are eager to provide real solutions for the global challenges through sustainable practices, both professionally and personally.
It covers an area of 26,500 km over the region of Red Sea. NEOM includes projects like “THE LINE,” “Hexagon,” “Trojena,” and “Sindalah”, each representing a hub of new economic and cultural opportunities for both the Kingdom and foreign investors.
Key information
NEOM is expected to contribute $48 billion to the GDP of Saudi Arabia by 2030. The ambitious self-sustaining megacity,”The Line” is expected to create about 380,000 new job opportunities in Saudi Arabia. Inorder to attract foreign investors and make them invest, The NEOM project zone will have a special tax and regulatory framework
Focus Sectors:
- Real Estate
- Renewable Energy and Sustainability
- Red Sea Project
- Technology
Red Sea Project
Spanning over 28,000 km, the Red Sea project also described as “the world’s most ambitious luxury tourism development ” is a pioneering luxury global tourism destination on the western coast of the Kingdom. It is an important project of Vision 2030 and the main aim of this project is to attract travellers and tourists.
Key information
The Red Sea project is expected to contribute $4 billion annually to Saudi Arabia’s GDP. This project would be a game changer for the kingdom’s job sector by creating 35000 job opportunities for tourism, hospitality and cultural sectors.
Focus Sectors:
- Entertainment
- Travel and Tourism
- Utilities
- Hospitality
- Transportation
Qiddiya Project
Driven by Qiddiya Investment Company, Qiddiya is expected to be Saudi Arabia’s capital of Entertainment, Sports, and Arts. This project aims to give back to Saudi, its youth. The Qiddiya project is expected to create many job opportunities and developments in real estate and community services.
Key information
This project aims to become a huge tourist centre, attracting both foreigners and local tourists alike. This project is expected to contribute up to $4.53 billion to Saudi Arabia’s GDP by 2030. The project is expected to create 57,000 new jobs as well.
Focus Sectors:
- Arts & Culture
- Sports & Wellness
- Motion & Mobility
- Nature & Environment
- Parks & Attractions
ROSHN
The ROSHN project is one of the leading Giga projects to develop modern communities in the country and transform the urban landscape. This project plays a core role in the government’s goal to acquire 70% home ownership across Saudi by 2030.
Key information
Eight new contracts worth of $2.1 billion were signed by ROSHN group to develop new residential units and facilities around the Kingdom. This Giga project mainly aim to attract foreign investors, ROSHN Group Chief Development Officer Oussama Kabbani invited foreign developers to explore investment opportunities in the kingdom, as investment opportunities are expected to boost in the country.
Focus Sectors:
- Real Estate
- Construction
Diriyah
Diriyah, is a UNESCO World Heritage Site, has always been a centre of culture and trade from ancient history. This tradition is expected to be followed by Diriyah Company by leading the development of the Diriyah Giga project. Diriyah will express the Saudi identity, pride and heritage by setting up galleries, cultural attractions and fine dining opportunities.
Key information
Diriyah Gate started as an ambitious $50 billion development project, and its scope got wider after the Public Investment fund of the country decided to change it to a Giga project.
This project is expected to create 178,000 jobs and its contribution to the kingdom is expected to be around $18.66 billion. This Giga project is supposed to oversee the construction of a over hundreds of restaurants, 38 hotels and other community facilities
Focus Sectors:
- Culture
- Tourism
King Salman Park
King Salman Park, which is located in central Riyadh, will be the largest urban park in the world, spanning over 16.7 square kilometers. The project consists of several Islamic-style mazes, the Royal Arts Complex, and gardens, pathways, and pavilions. Inorder to address the housing and economic opportunities in capital city, the project also focuses to construct hotels, residential units, parking, retail spaces, etc.
Key information
The King Salman Park Company and Saudi Fransi Capital is the fund raiser of King Salman Park Real Estate Development Fund and it is worth $1.07 billion. This Giga project Saudi is a collaboration between the public and private sectors, and Naif Alrajhi Investment is overseeing the development of the park’s first real estate land parcel.
Focus Sectors:
- Culture
- Tourism
- Real Estate Development
- Transportation
Jeddah Central
The main aim of Jeddah central project is to develop the historic port city by keeping up to its cultural and historical heritage. The major focus of this project is to develop residential buildings, cultural rejuvenation, hotels, housing units, and landmark buildings so that the Jeddah residents will experience a high quality lifestyle. The project is expected to build 17,000 residential units, in addition to arts centres, opera house, stadium, oceanarium, waterfront facilities like a marina. Project is expected to complete its Phase 1 by 2027, after which the area will be opened to visitors and residents.
Key information
Jeddah is near to Makkah and Medina making it a popular tourist destination. This Giga project has a budget of $20 billion and is expected to contribute $12.5 billion to the Kingdom’s GDP by 2030.
Focus Sectors:
- Tourism
- Development of Real Estate
New Murabba
The New Murabba project seeks to construct a new commercial and cultural zone over 25 million square kilometres thus transforming downtown Riyadh. All the buildings, including construction of 104,000 residential units, hotels, community facilities, retail and office spaces, and leisure zones, would be connected with an internal transport system.
At the centre of attraction of the project is the Mukaab, a 400-meter-high, 400-meter-wide, and 400-meter-long cube-shaped structure which will host shops and cultural attractions and would have digital and virtual technologies offering exploratory experiences.
Key information
The project is expected to add:
- $50 billion to the Kingdom’s economy
- Create 334,000 jobs by 2030.
This project is supposed to attract both private and foreign investments in the future.
Focus Sectors:
- Real estate
- Entertainment
Saudi Downtown
The Saudi Downtown Company of the Public Investment Fund plans to develop downtown areas in 12 major cities in the country and build modern, commercial, and residential zones over 10 million square metres in the country. The cities where the company will develop downtown are Madinah, Hail, Dumat Al Jandal, Najran, Arar, Khonbar,Baha, Jizan, Taif, Tabuk, Ahsa, and Buraydah.
Key information
Though the project is in its starting phase, it’s expected to help the Kingdom expand its sources of income, create new opportunities for the private sector, and develop infrastructure to empower small and medium-sized enterprises (SMEs), etc
Focus sectors:
Commercial, residential and recreational real estate
Masar Destination
This Giga project is led by private developer Umm Al Qura company.
The Masar destination project lays its focus on the redevelopment of the commercial areas near the Makkah Grand Mosque. The company received $6.13 billion as investment for infrastructure development and this project is expected to complete by 2035.
Key information
This Giga project is expected to create 16,000 job opportunities in Mekkah.
Umm Al Qura aims to establish Mekkah as a long-term investment destination for this purpose; the company has received $26.6 billion from investors to complete the project.
Focus Sectors:
- Commerce
- Retail
- Real estate
- Hotels and hospitality
Al'Ula
The Al’Ula project aims to develop land around the UNESCO World Heritage Site of Al’Ula thus attracting tourists and increasing the quality of life of the locals. This project aims to enhance the economic and social well being of the city, by constructing various cultural centers, luxury hotels, museums etc.
Key information
The estimated total development value of the project is over $15 billion. The budget of $3.2 billion will be used to develop the primary infrastructure of the ancient city. The Al’Ula project looks for efficient partners to implement its “Journey Through Time” master plan and this offers both public-private partnerships. This Giga project is expected to create over 38,000 jobs and contribute $32 billion to the Kingdom’s GDP
Focus sectors:
- Real estate
- Travel and tourism
King Abdullah Financial District (KAFD)
King Abdullah Financial District (KAFD) features 61 towers and skyscrapers and offers to construct a smart city offering cutting-edge solutions, contemporary residences, world-class workspaces, and unique entertainment.
Key information
This Giga project hosts the regional headquarters of international businesses in the country. King Abdullah Financial District (KAFD)is one of the four special economic zones which has special regulations for foreign companies. As KAFD management has the plans to develop 1,000 residential apartments in the next 6 months the district is expected to expand over the coming year, receiving an average of 10,000 visitors a day.
Focus Sectors:
- Office and residential real estate
- Retail
- Entertainment
- Hotels and hospitality
- Food and beverage
Mohammed bin Salman Non-profit City (MISK)
This Giga city Saudi Arabia is being developed in Riyadh as a business hub for entrepreneurs and leaders in the future. The foundation of this city is the personal and business development by various programs including literature, business, art, culture, science, and technology. The City focuses on sustainable development and is designed to be people-focused.
Key information
This Giga projects Saudi is funded by Mohammed bin Salman’s personal foundation and it has helped to develop the Small and Medium Enterprises General Authority (Monsha’at), more than 500 startups, etc.
Focus Sectors:
- Startups and Entrepreneurship
- Science and Technology
- Education
SEVEN
SEVEN, which is also known as Saudi Entertainment Ventures, is a PIF-owned Giga project and is a major device of the kingdom’s entertainment sector. This Saudi Arabia Giga project works to
provide family-oriented entertainment programs and fun activities for the youthful population of Saudi Arabia via 8 global partnerships and 150+ entertainment zones across 14 cities. This Saudi Giga project aims to
boost travel and tourism in the country and is expected to receive over 90 million visitors by 2030.
Key information
SEVEN has invested $346 million for building an amusement destination in Madinah in collaboration with BUJV, a joint venture by Al Bawani Co and UrbaCon Trading & Contracting. SEVEN is partnering with global entertainment industry leaders like Hasbro, Discovery, Warner Bros. Mattel, and Clip ‘n Climb, to attract global audiences. This Giga city is expected to create 21 entertainment destinations with an investment of over $13 billion
Focus Sectors:
- Entertainment
- Travel and Tourism
- Hospitality
How much does the Saudi Giga projects cost?
Well, Saudi Arabia is on a mission to be a global economic leader, it is investing billions and trillions of dollars for its 14 Giga cities. Lets have a close look at the cost of each major Saudi Giga projects.
Name of Project | Cost to Complete | Year of Completion |
NEOM | $500 billion | 2030 |
Qiddiya Project | $40 billion | 2030 |
Diriyah Gate | $63 billion | 2027 |
Al/Ula Project | $15 billion | 2035 |
Red Sea Global | $20 billion | 2030 |
Who will benefit from the Saudi Giga Projects?
Saudi Arabia is on its path to diversify its economy. And Giga projects play a major role in its ambitious plan. Wondering who all will benefit from Giga projects? Below are the list:
- Contractors
- PPP investors
- Suppliers
- Financiers
- Bankers
- Economists and analysts
- Policy makers
- Researchers
- Manufacturers
- Engineering consultants
- Power developers
- Technology companies
- Academics
How Giga Project Boost Business Opportunities in Saudi Arabia
Giga projects are Saudi Arabia’s mega plan to be a global economic hub attracting global investors around the world. As seen above, the 14 Giga project offers massive development in the country and calls for investment and businesses across the globe. Giga projects are a major part of Saudi Vision 2030 and it is great that the country is achieving its Vision 2030 goals day by day, thus offering more and more business opportunities in the kingdom.
Saudi being a fertile ground for business opportunities offers large scale business offerings to people across the globe. We, the team of Analytix, have experience and expertise in helping both locals and foreigners to set up business in Saudi Arabia. If you are planning to start a business in Saudi, and are facing troubles for the same, don’t worry, Analytix is there with you to start your business in the country.
Conclusion
Clear with what are Giga projects in Saudi Arabia and how it is transforming both the Saudi and global economy?
We hope that this blog gave a comprehensive answer to all your queries regarding what are Giga projects in Saudi Arabia.
If you are still not convinced, and doubts persist, feel free to reach out to us.
Stay tuned to get more comprehensive blogs on business opportunities in Saudi Arabia.
Frequently Asked Questions [FAQ]
What is meant by Giga project?
Giga projects are part of Saudi Arabia’s visionary plan to transform and diversify its economy to a non oil revenue dependent country. Through 14 major Giga projects, the country is on its path for development.
What is the difference between mega projects and Giga projects?
Both mega project and giga project are used to define large scale initiatives in development, construction and infrastructure. Compared to giga projects, mega projects are small and involve a budget in the range of billions of dollars, while giga projects include a budget in terms of trillion dollar scale.
What is the biggest project in Saudi?
NEOM is the biggest project in Saudi Arabia with an investment of more than 500 billion dollars.
Is NEOM the future?
NEOM if implemented as per the plan will be the future as it will become the hub of various industries and businesses.
