GCC Construction Market Hits Historic Peak in 2024

The Gulf Cooperation Council's construction sector reached unprecedented heights in 2024, with project awards totaling $273 billion – a 9.6% increase from the previous year.^[?] This record-breaking performance signals a robust recovery and growing confidence in the region's construction market.

Saudi Arabia led this remarkable growth, setting records for the second consecutive year with contract awards reaching $146.8 billion in 2024, up from $118.7 billion in 2023. The Kingdom's aggressive development plans, particularly in its giga-projects like NEOM and Red Sea Global, helped it secure 53.8% of total GCC project awards.

The UAE experienced a 9.5% year-on-year decline, with contract awards falling to $84.1 billion from $92.9 billion in 2023. This decline was primarily due to reduced activity in five out of eight sectors, with the gas sector seeing the most significant drop — 54.7% year-on-year to $8.8 billion.

The transport sector emerged as the primary driver of this growth, claiming 30% of total awards. This reflects the GCC's ongoing commitment to infrastructure development, with major investments in railways, airports, and road networks. Construction and gas projects followed closely, demonstrating the region's balanced approach to development across different sectors.

Looking ahead, 2025 promises even more growth potential. With $657 billion worth of projects already planned across the GCC, including significant investments in renewable energy and sustainable infrastructure, the construction boom shows no signs of slowing. This sustained momentum suggests that the region's construction sector is not just recovering but transforming into a more diverse and resilient market.