4 Megaprojects undertaken by the KSA

As the world continues to navigate the shifting tides of economic growth and investment landscapes, the Kingdom of Saudi Arabia (KSA) emerges as a beacon of opportunity for forward-thinking investors. With its Vision 2030 initiative, Saudi Arabia is taking bold steps towards economic diversification, moving away from oil dependency and opening its doors to a myriad of sectors ripe for investment.

 From technology and renewable energy to tourism and entertainment, KSA is not just reshaping its economy but also redefining its global position as a hub for innovation and growth. In this blog, we will explore some of the key investment opportunities in Saudi Arabia, shedding light on the fundamental changes taking place and why now is the time to consider this dynamic market.

Neom

Neom is an urban city built in the Tabuk province spanning 26,500 km2. It is located at the northern tip of the Red Sea, east of Egypt, across from the Gulf of Aqaba, and south of Jordan. Investment in the megaproject exceeded $1.5 Trillion, which is expected to be completed by 2039.

There are currently five distinct regions in Neom, each one with unique investment opportunities, they are as follows

• Magna: it offers luxury living and tourism on 120 kilometers of coastline in the Gulf of Aqaba region. It is planned that 95% of the region will be maintained for wildlife conservation. The area will feature 15 luxury hotels, with 1600 rooms and suits.

• Oxagon: envisioned as a floating industrial complex in the shape of an octagon, It is designed to focus on manufacturing and industrial research and development. It also includes a port, which currently benefits from an accelerator program called Oxagon × Mclaren Accelerator Program. Another accelerator program targeting start-ups called the Oxagon Accelerator targets four economic sectors; namely water, technology, e-fuels, and green hydrogen.

• Sindalah: This island getaway, spanning 840,000 square meters, will provide a top-notch luxury destination. It will include a brand-new international center for yachting, complete with three hotels, a golf, sports, and beach club, and an advanced marina and yacht club.

• The Line: envisioned as a linear city 170 kilometers (110 mi) long and 200 meters (660 ft) wide, the Line is a car-free city. It is expected to run 100% on renewable energy and 95% of the land is envisioned as green areas. With high-speed rail, which will take 20 minutes to go from start to finish, residents will also have access to all everyday necessities within a five-minute stroll.

• Trojena: envisioned as the first major outdoor skiing destination in the Arabian Peninsula. The project’s site is about 50 kilometers from the Gulf of Aqaba coast in the Sarat Mountains, with elevations ranging from 1,500–2,600 meters. It boasts a 42,000 M2 area for retail dining and outlet space and 3620 hotel rooms and service apartments.

King Abdullah Economic City

Envisioned as a mega project that was started in 2005, the city is located in the Mekkah province. The project is being constructed by Emmar Properties, with a total cost of SAR 207 billion. It aims to attract investors and businessmen through its strategic location, advanced infrastructure, and its investor-friendly regulation.  It contains a new logistics and manufacturing hub called the Industrial Valley, which aims to become the region’s leading industrial and logistics area.  

The city acts as a gateway to the Red Sea Market via its rail, road, and sea infrastructure. Over 115 national and international companies have chosen the city as a destination for their businesses. The city also has several colleges and academic centers such as Tomouh Career Development Center and Prince Mohammed bin Salman College of Business and Entrepreneurship.

KA Care – King Abdullah City for Atomic and Renewable Energy

Founded in 2010 in Riyadh province, the city the city was constructed with a mandate to develop renewable energy sources in the KSA. The goals of K.A.C.A.R.E. is to suggest a national policy for nuclear and renewable energy. In order to accomplish its goals, it also creates and oversees initiatives. Examples of these include research and development facilities to support sustainable growth in the Saudi Arabian economy and the use of nuclear and renewable energy sources to create a sustainable national energy mix.

K.A.C.A.R.E. focuses on promoting an efficient national energy sector through developing a national strategy for renewable energy, ensuring the qualification of the national workforce, providing renewable energy data to the private sector, supporting joint research programs, conducting feasibility studies for nuclear reactors, raising awareness of atomic and renewable energy’s importance, and partnering with international suppliers to promote peaceful nuclear energy use for electricity and desalinated water production.

Jeddah Economic City

Designed by the Kingdom Holding Company, which is owned by Prince Al-Waleed Bin Talal, the city is constructed over approximately 5,000,000 m2. The centerpiece of the city is the Jeddah Tower, which is being constructed to become the world’s tallest building, standing at an astounding 1000 meters. The project is estimated to cost over $20 billion. The tower is envisioned to have business and leisure facilities.

Concluding remarks

As we look to the future, the investment landscape in Saudi Arabia is more promising than ever. With a young and dynamic population, strategic geographical location, and committed government initiatives, KSA offers unique opportunities for investors willing to engage with this evolving market.

By aligning investments with the Kingdom’s Vision 2030 goals, investors can capitalize on the immediate prospects and contribute to the region’s sustainable economic transformation. Whether you are a seasoned investor or exploring new avenues, the potential for growth in Saudi Arabia is vast and varied. Embrace this momentous shift and position yourself as part of the Kingdom’s exciting journey into the future.