Latest News

• 
  Riyadh awards $1.5bn metro rolling stock contracts

  Administrator

  14 October 2026

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  Saudi Arabia’s Royal Commission for Riyadh City (RCRC) has signed contracts worth about SR5.5bn ($1.5bn) to procure 94 additional trains for the Riyadh Metro network.

  Germany’s Siemens and France’s Alstom have been awarded the contracts. They cover rolling stock manufacture, onboard systems, equipment and related services.

  The procurement will increase the metro fleet from 183 to 277 trains. Deliveries are due to begin in phases in 2028, with the additional units subject to testing and operational trials before entering service.

  RCRC expects the programme to increase the network’s passenger capacity by 60%.

  The additional trains will be distributed across the six metro lines based on current demand and projected ridership.

  The Red Line will receive the largest capacity increase, at 142%, followed by the Yellow Line at 116% and the Blue Line at 60%. Capacity on the Orange and Purple lines will increase by 27% and 16%, respectively.

  Daily capacity on the Blue Line is set to increase from about 340,000 to 533,000 passengers. Capacity on the Red Line will rise from 154,000 to 370,000 passengers a day, while the Yellow Line will increase from 133,000 to more than 288,000.

  The expansion is intended to meet rising demand for public transport as Riyadh prepares to host Expo 2030 and the 2034 Fifa World Cup, alongside continued growth in residential, commercial and entertainment developments.

  Speaking at the 37th government press conference, RCRC chief executive Ibrahim Al-Sultan said the metro has carried more than 300 million passengers since it began operating.

  Average metro ridership rose by about 25% in the first nine months of 2026 compared with the same period in 2025, he added.

  The wider Riyadh public transport system, including buses and the metro, is approaching 500 million passenger journeys.

  ---

  MEED’s October 2026 report on Saudi Arabia includes:

  > COMMENT: Saudi projects hold steady
  > GOVERNMENT: Riyadh looks to reset its regional defence outlook
  > ECONOMY: Conflict bolsters case for Saudi economic diversification
  > BANKING: Saudi lenders readjust to lower lending and deposit climate
  > UPSTREAM: Aramco upstream spending gathers pace
  > DOWNSTREAM: Sabic steps up Saudi petchems investment
  > POWER: Saudi Arabia’s power award activity slows
  > WATER: Saudi water sector hits sharp slowdown
  > CONSTRUCTION: Saudi construction defies the headwinds
  > TRANSPORT: Saudi infrastructure pushes forward amid conflict
  > DATABANK: Saudi data indicates project spending shift

  To see previous issues of MEED Business Review, please click here

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  Yasir Iqbal
• 
  Jeddah extends bid deadline for drainage scheme

  Administrator

  14 October 2026

  

   

  Jeddah Municipality has extended the deadline for contractors to submit bids for the construction of a rainwater drainage network for the Prince Fawaz neighbourhood.

  The new deadline is 15 November. The original deadline was 12 October.

  The project aims to collect and convey rainwater away from residential streets and low-lying areas. It is valued at $60m and is intended to reduce flood risk during heavy rainfall.

  The scope includes manholes, stormwater catch basins and connections to existing manholes, as well as the restoration of road surfaces.

  Prince Fawaz is a residential district in southern Jeddah, divided into northern and southern sections.

  It is connected to the Mecca-Jeddah Expressway and Al-Harmain Road, with road improvements in the southern section designed to improve access for residents and neighbouring districts

  The municipality is also advancing a second stormwater drainage project for the first package of Zone (BC), Old Zahraa, in Jeddah Governorate. The project is valued at about $30m.

  According to a source, bids were submitted for the project on 16 September.

  The two projects are part of the municipality’s wider drainage programme, which includes the flagship King Abdullah Road-Falasteen Road tunnel project.

  MEED previously reported that Saudi contractor Thrustboring Construction Company had been selected for phases one and two of the project, each valued at about $175m, covering the construction of large-diameter stormwater drainage tunnels. As of August, an official agreement had yet to be signed.

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  Mark Dowdall
• 
  US initiates procurement for Expo 2030 Riyadh pavilion

  Administrator

  14 October 2026

  

   

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  The US Department of State has initiated market research to procure a design-and-build contract for the US Pavilion at Expo 2030 Riyadh.

  According to procurement documents released through the US federal contracting portal, the project covers the full design, construction, exhibition fit-out, maintenance, and eventual decommissioning and removal of the national pavilion.

  The total cost for the design, construction and decommissioning packages is estimated at $55m to $65m.

  The request for information notice was issued on 9 October.

  The pavilion will be developed on plot P5.N1.B03.01 within the Expo 2030 masterplan’s Technology district, fronting the Loop of Nations corridor.

  It spans 5,368 square metres (sq m), with a maximum permitted gross floor area (GFA) of 8,052 sq m and an overall building height limit of 20 metres.

  The planned temporary structure will rise approximately three storeys and house between 5,000 and 6,000 sq m of exhibition space. The brief requires the facility to accommodate at least 23,000 visitors a day over the event’s six-month duration.

  Additional programme elements include:

  • A rooftop garden and restaurant
  • Two commercial kitchens
  • A VIP reception suite
  • Dedicated retail and administrative office space
  • Back-of-house operational areas and exterior shaded public landscaping

  Interested contractors and joint ventures have been invited to submit capability statements by 11 November. Bidders must demonstrate prior experience delivering major pavilions or large-scale immersive exhibition spaces completed within the past 15 years, alongside international logistics and regional project delivery capabilities.

  UK-based engineering consultancy Buro Happold prepared the plot masterplanning and development guidelines for the zone.

  Another UK-headquartered firm, Trivandi, was selected in April as the operations partner for the US Pavilion at Riyadh Expo.

  Expo 2030 Riyadh will run from October 2030 to March 2031 under the theme Foresight for Tomorrow, with host authorities projecting roughly 42 million visits.

  The masterplan covers 6 square kilometres, making it one of the largest sites ever designated for a World Expo event.

  Situated north of the Saudi capital, the site will be near the future King Salman International airport and will provide direct access to Riyadh landmarks.

  The Public Investment Fund, Saudi Arabia’s sovereign wealth vehicle, launched Expo 2030 Riyadh Company – a wholly owned subsidiary – in June 2025 to build and operate facilities for Expo 2030.

  ---

  MEED’s October 2026 report on Saudi Arabia includes:

  > COMMENT: Saudi projects hold steady
  > GOVERNMENT: Riyadh looks to reset its regional defence outlook
  > ECONOMY: Conflict bolsters case for Saudi economic diversification
  > BANKING: Saudi lenders readjust to lower lending and deposit climate
  > UPSTREAM: Aramco upstream spending gathers pace
  > DOWNSTREAM: Sabic steps up Saudi petchems investment
  > POWER: Saudi Arabia’s power award activity slows
  > WATER: Saudi water sector hits sharp slowdown
  > CONSTRUCTION: Saudi construction defies the headwinds
  > TRANSPORT: Saudi infrastructure pushes forward amid conflict
  > DATABANK: Saudi data indicates project spending shift

  To see previous issues of MEED Business Review, please click here

  https://image.digitalinsightresearch.in/uploads/NewsArticle/20580855/main.jpeg

  Yasir Iqbal
• 
  Oman invites bids for geothermal plant study

  Administrator

  14 October 2026

  Oman’s Nama Power & Water Procurement Company (Nama PWP) has issued a tender for techno-economic consultancy services for phases two and three of the sultanate’s first planned geothermal power plant project.

  Known as the Hot Springs Geothermal Project, the tender covers geological, geochemical and deep geophysical investigations, geothermal resource assessment and three-dimensional conceptual modelling.

  It also includes site selection, a preliminary techno-economic assessment and preparation of a temperature-gradient drilling programme.

  The scope includes an optional phase three covering drilling tender support and supervision, post-drilling resource assessment, and detailed feasibility and development studies.

  Bid submissions are due by 30 November.

  The tender supports Oman’s efforts to assess geothermal energy’s potential as an additional source of renewable electricity. The country is seeking to diversify its energy mix as it expands its renewable energy programme under Oman Vision 2040 and works towards its net-zero emissions target for 2050.

  Nama PWP previously tendered the first phase of the project in April 2025, with the initial consultancy scope covering selected locations between Wilayat Fanja and Al-Ansab in Muscat Governorate. 

  Unlike solar and wind power, geothermal energy is seen as a way to provide a consistent source of energy regardless of weather conditions. However, the commercial viability of Oman’s geothermal resources remains to be established.

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  Mark Dowdall
• 
  SAR sets November deadline for GCC rail design review

  Administrator

  14 October 2026

  

   

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  Saudi Arabia Railways (SAR) has set a deadline of 1 November for a contract to appoint a design management and review consultant to oversee engineering works on the GCC railway network, the latest step in advancing the long-delayed regional rail link.

  The request for proposals (RFP) was issued on 9 September, with an initial submission deadline of 18 October.

  The tender seeks a consultant to manage, audit and verify deliverables produced by SAR’s separately appointed design services consultant, rather than carry out the design itself. The tendering for the design services consultancy is currently in progress.

  Construction will be tendered separately through competitive bidding once designs are approved.

  The GCC railway will run for about 672 kilometres (km) inside Saudi Arabia, linking the kingdom’s existing network to Kuwait, Qatar, the UAE and Bahrain, with four sections of about 141km, 200km, 151km and 21km, respectively.

  The line is planned as a single-track, non-electrified corridor for mixed freight and passenger traffic, with a maximum axle load of 32.4 tonnes and passing loops for bidirectional working.

  The appointed consultant will develop a design management and review plan covering governance, interdisciplinary coordination and stage-gate approvals, and will issue formal review and audit reports against SAR’s requirements and international standards.

  The scope also covers stakeholder engagement, interface management and oversight of land acquisition activity tied to the design consultant’s land acquisition plan.

  Key design stages are expected to take about 16 months: four months for concept design, six for preliminary design and six for issued-for-construction design, each with four weeks of contingency.

  SAR has asked bidders to mobilise a core team from day one. These must include a project director, engineering and design manager, stakeholder manager and lead document controller, all based at SAR’s offices, with minimum experience thresholds ranging from three years for junior operators up to 25 years, including 15 in rail, for the project director role.

  Cross-border infrastructure related to the GCC rail is also gaining momentum, with the UAE and Saudi Arabia signing a preliminary agreement in early October to study rail connectivity.

  The rail component covers technical and economic feasibility studies for a dedicated freight link between the two national networks to improve bilateral logistics and supply-chain integration.

  The deal also covers potential electricity interconnection, including the exchange and sale of power. The countries will conduct technical, economic and environmental studies and coordinate with other GCC member states on broader grid-development plans.

  GCC railway line

  Under the overall plan, the railway will run from Kuwait, pass through Dammam in Saudi Arabia, reach Bahrain via a planned causeway, and continue from Dammam to Qatar, the UAE and, ultimately, Muscat via Sohar in Oman. The railway is reported to cover about 2,186km in total.

  The route length within each member state is as follows:

  • UAE – 684km
  • Saudi Arabia – 672km
  • Oman – 306km
  • Qatar – 283km
  • Kuwait – 145km
  • Bahrain – 36km

  The railway is designed for passenger trains travelling at 220 kilometres an hour (km/h) and freight trains operating at 80km/h-120km/h.

  With high levels of project activity, governments in spending mode and renewed cooperation under the Al-Ula Declaration, the latest efforts to restart the GCC railway project may make more progress than previous attempts. If completed, the railway could prove transformational for a region that is globally connected but still divided by national borders.

  ---

  MEED’s October 2026 report on Saudi Arabia includes:

  > COMMENT: Saudi projects hold steady
  > GOVERNMENT: Riyadh looks to reset its regional defence outlook
  > ECONOMY: Conflict bolsters case for Saudi economic diversification
  > BANKING: Saudi lenders readjust to lower lending and deposit climate
  > UPSTREAM: Aramco upstream spending gathers pace
  > DOWNSTREAM: Sabic steps up Saudi petchems investment
  > POWER: Saudi Arabia’s power award activity slows
  > WATER: Saudi water sector hits sharp slowdown
  > CONSTRUCTION: Saudi construction defies the headwinds
  > TRANSPORT: Saudi infrastructure pushes forward amid conflict
  > DATABANK: Saudi data indicates project spending shift

  To see previous issues of MEED Business Review, please click here

  https://image.digitalinsightresearch.in/uploads/NewsArticle/20576332/main.jpg

  Yasir Iqbal
• 
  UAE steps up project spending as war bites

  Administrator

  14 October 2026

  Register for MEED’s 14-day trial access 

  UAE government capital expenditure rose more than ninefold year-on-year in the first quarter. Fitch Ratings expects spending on infrastructure and government-related entity (GRE) projects to rise significantly in 2026 and 2027 as the authorities seek to offset the economic impact of the US-Iran war.

  Consolidated capital spending reached AED18.6bn ($5.1bn) in Q1 2026, up from AED2bn a year earlier, according to a report recently released by the Central Bank of the UAE (CBUAE). It said the increase reflected higher allocations to infrastructure and other development-related initiatives.

  Total public expenditure rose by 22.8% to AED132.2bn, equivalent to 24.2% of GDP. Social benefits increased by 27.1% to AED22.1bn, while compensation of employees rose by 1.7% to AED31.5bn.

  Revenue grew by only 0.8% to AED121.8bn. Tax revenue rose by 3% to AED77.5bn, while other revenue fell by 5% to AED39.2bn.

  As a result, the consolidated fiscal position moved from a surplus of AED13.1bn (2.5% of GDP) in Q1 2025 to a deficit of AED10.4bn (1.9% of GDP). The CBUAE said the shift primarily reflected a deliberate increase in spending on capital projects and social benefits.

  Construction was the second-largest contributor to non-oil growth in the quarter. The sector grew by 8.1% year-on-year and added 1 percentage point to non-oil GDP growth of 4.8%. Its share of non-oil GDP rose to 13.2% from 12.8% a year earlier.

  Accelerated tendering

  In a report published on 9 October, Fitch said the UAE has accelerated tendering on several projects. It expects additional investment in those projects to improve the resilience of infrastructure and high-profile projects and to support foreign investor confidence.

  The agency said the rise in capital spending was partly intended to increase resilience to future conflicts and partly to stimulate the economy and restore confidence.

  Fitch expects measures to revive tourism and logistics once regional stability is more durable. It also expects support for growth sectors such as artificial intelligence, financial services and decarbonisation, and work to relieve infrastructure bottlenecks such as local transport congestion. It sees scope for the effective subsidisation of activities that support the economy, such as cheap flights.

  Fiscal space

  Fitch's baseline assumes a 19% increase in Abu Dhabi government spending this year, equivalent to 3.7% of GDP. It projects Abu Dhabi fiscal surpluses of more than 8% of GDP each year to 2028. The agency said the emirate's sovereign wealth fund assets and low fiscal breakeven oil price allowed it to deploy large fiscal stimulus without depleting its buffers.

  Fitch said Abu Dhabi, Dubai and Ras Al-Khaimah all had fiscal space to fund a post-war recovery programme without raising taxes. It forecasts higher spending in all three in 2026 and 2027 than in 2025, but expects only Ras Al-Khaimah to record a budget deficit.

  Ras Al-Khaimah faces greater rating pressure. Fitch moved the emirate to a negative outlook in October, citing the risk the war poses to a key resort project. That project formed part of the rationale for the emirate's 2024 upgrade.

  The CBUAE said the UAE entered 2026 with strong fiscal buffers, supported by low public debt and substantial sovereign assets. It cited infrastructure-related public expenditure, Dubai's AED2.5bn support initiative and its own Financial Institution Resilience Package among the measures expected to support activity.

  Growth outlook

  Fitch expects the non-oil economy to contract by 3.7% in real terms in 2026 before growing by 6.1% in 2027 and 4.3% in 2028. Its baseline assumes a durable deal to reopen the Strait of Hormuz around Q1 2027. The agency said official support and improved security underpin its projections for 2027 and 2028.

  The CBUAE is more positive on 2026, forecasting non-oil growth of 1.3% this year and 4.9% in 2027.

  Other hubs pose a threat to the UAE's growth model. It expects new and expanded road, rail, pipeline and port infrastructure in Oman and Saudi Arabia as GCC states seek trade routes that bypass the strait.

  Increased port capacity on the UAE's Gulf of Oman coast and links to Omani ports are unlikely to fully remove concerns over a renewed closure of the strait, the agency said. It expects lower new investment in trade and manufacturing rather than a significant relocation of existing operations.

  Fitch said data centres, which have faced drone attacks, would give greater weight to physical security when choosing future locations. GRE balance sheets could be affected by lower revenues and the cost of supporting the non-oil economy. It described these contingent liabilities as manageable, given Abu Dhabi's fiscal buffers and the generally profitable nature of the GREs. Contingent liabilities of Dubai GREs are estimated at 70% of GDP.

  The agency also flagged risks to real estate, which accounted for 8% of non-oil GDP in 2025. A persistent fall in population would put pressure on the sector, particularly given the higher level of supply approaching the market.

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  Colin Foreman
• 
  Algeria tenders gas compressor upgrade project

  Administrator

  14 October 2026

  Algeria’s national oil and gas company Sonatrach has issued a tender for a project to upgrade 11 gas compressor stations in the Hassi Hassi Messaoud area.

  The project scope includes study, design, procurement, construction, installation and commissioning of units at the compressor stations.

  The deadline for submitting technical bids is 22 November.

  The compression stations to be upgraded include 10 located at the Southern Industrial Complex.

  These are known as: SC3, SC4, SC5, SC6, SC7, SC8, SC9, SC10, SC11 and SC12.

  The eleventh compressor station, UC3, is located at the Naili Abdelhalim Industrial Complex.

  The project appears to revive plans dating back to at least 2019, when Sonatrach identified the refurbishment of the SC3–SC12 facilities as part of its investment programme.

  International companies wishing to bid must have an average turnover of at least $1bn over the last three years.

  They are also required to have successfully completed at least two engineering, procurement and construction contracts relating to industrial hydrocarbon installation projects during the last 15 years.

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  Wil Crisp
• 
  Joint venture wins Jizan sewage treatment contract

  Administrator

  13 October 2026

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  Germany-headquartered PWT Wasser and Saudi Arabia’s Al-Masar Al-Hadeeth have signed a contract to build a wastewater treatment plant in Jizan in southwestern Saudi Arabia.

  The plant will serve King Abdullah District and have a treatment capacity of approximately 11,356 cubic metres a day (cm/d). It will use membrane bioreactor technology to treat municipal wastewater.

  The client is the state-owned National Water Company.

  The scope includes the treatment plant, sludge treatment facilities, pumping stations, wastewater collection facilities and associated sewage networks. The contract is valued at approximately $20m.

  PWT Wasser is a subsidiary of Saudi Arabian Amiantit, a manufacturer of pipes and water infrastructure. According to regional tracker MEED Projects, the award marks PWT’s first major water infrastructure project in Saudi Arabia.

  The contractor has completed one other known water treatment plant project in the Middle East for the Iraq Ministry of Municipalities & Public Works.

  The contract is part of Saudi Arabia’s wider expansion of wastewater treatment infrastructure. In 2025, Sharakat selected Alkhorayef Water & Power Technologies as the preferred developer for a separate public-private-partnership project in Jizan comprising a cluster of 12 small-scale sewage treatment plants.

  The plants will have a combined treatment capacity of 74,700 cm/d, with individual plant capacities ranging between 1,800 and 15,000 cm/d.

  The $150m scheme also involves laying 166 kilometres of collection pipelines, tanker discharge points and effluent connections. As of August, construction works had yet to commence on the project.

  ---

  MEED’s October 2026 report on Saudi Arabia includes:

  > COMMENT: Saudi projects hold steady
  > GOVERNMENT: Riyadh looks to reset its regional defence outlook
  > ECONOMY: Conflict bolsters case for Saudi economic diversification
  > BANKING: Saudi lenders readjust to lower lending and deposit climate
  > UPSTREAM: Aramco upstream spending gathers pace
  > DOWNSTREAM: Sabic steps up Saudi petchems investment
  > POWER: Saudi Arabia’s power award activity slows
  > WATER: Saudi water sector hits sharp slowdown
  > CONSTRUCTION: Saudi construction defies the headwinds
  > TRANSPORT: Saudi infrastructure pushes forward amid conflict
  > DATABANK: Saudi data indicates project spending shift

  To see previous issues of MEED Business Review, please click here

  https://image.digitalinsightresearch.in/uploads/NewsArticle/20545619/main.jpg

  Mark Dowdall