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• 
  Construction guard undergoes a shift

  30 March 2026

  

   

  The 2026 GCC Construction Contractor Ranking reflects two key trends. One is a growing trend that has been steadily rising across the region for more than a decade, while the other is a more recent development, which is now followed by the added uncertainty of a war with Iran.

  The long-running trend is the rise of Chinese contractors. After years of Saudi-based dominance, Beijing’s China State Construction Engineering Corporation has claimed the top spot as the region’s most active contractor, with $10.399bn of work currently at the execution stage. This represents a notable rise for the firm, which was ranked second in 2025.

  China State is not the only Chinese contractor in the top three. China Harbour Engineering Company ranks third, with $8.64bn of work under execution. Both firms are among China’s largest construction companies and have a longstanding presence in the region. In recent years, their success has encouraged other Chinese contractors to enter the market and win work. This trend is reflected in the national rankings, where other Chinese players feature prominently and may follow China State and China Harbour in rising to the top of the regional rankings.

  Saudi reprioritisation

  The other more recent trend affecting the 2026 ranking is the reprioritisation of projects in Saudi Arabia. The reassessment of the kingdom’s capital expenditure commitments led to a sharp decrease in contract awards during 2025. Combined with contractors completing work on projects secured immediately after the Covid-19 pandemic in 2021 and 2022, this has resulted in an overall decline in the value of work at the execution stage.”

  This trend is reflected in China State’s figures. Although it moved up the rankings in 2026, the total value of work at the execution stage declined from $13.5bn to $10.4bn – a drop of about 30%.

  The decline was even more pronounced for Saudi Arabia-based Nesma & Partners, which, unlike China State, does not have extensive operations in other GCC markets. Nesma moved to second place with $8.844bn of work under execution.

  Despite the slowdown in activity in the kingdom, Saudi contractors continue to hold four of the top 10 positions, down from six in the 2025 ranking. El-Seif Engineering Contracting, Al-Bawani and Shibh Al-Jazira dropped out of the rankings, while Modern Building Leaders entered the top 10.

  The other newcomer to the list is London-headquartered Innovo, which has rapidly become one of the most active building contractors in the UAE, with projects in Dubai and Abu Dhabi.

  Bahrain

  The Bahraini market remains dominated by large-scale social infrastructure and residential developments. In 2026, the ranking shows that contractors that have maintained a steady amount of work at the execution stage have risen up the ranking as other contractors complete projects and drop down the listing.

  China Machinery Engineering Company maintains its position at the top of the ranking, with $689m of work under execution. Its primary focus continues to be the East Sitra housing scheme, a multi-phase project for the Ministry of Housing & Urban Planning that has involved the construction of thousands of housing units since 2019.

  Nass Contracting has climbed back to second position with $639m. The local contractor was ranked fourth in 2025. Its portfolio is bolstered by significant infrastructure wins, including the Busaiteen Link scheme and the expansion of the RCSI Bahrain campus. Al-Hamad Building Contracting follows in third place with $610m, continuing its work on major Manama-based projects such as the Villamar residential complex.

  In fourth position is the local Saleh Abdulla Kameshki & Sons, with $237m of work at the execution stage, followed by the local Kooheji Contractors in fifth place, with $230m of work at the execution stage. Kooheji was the seventh-ranked contractor in 2025.

  Another local contractor that has risen up the ranking is Cebarco, which now sits in sixth place up from eighth, with $218m of work under execution. The local Almoayyed Contracting Group now sits in seventh place, down from sixth last year.

  The other companies were not in the top 10 in 2025. They are CCT Constructor Group, Dar Al-Binaa Construction and Haji Hassan Group.

  Kuwait

  Turkiye’s Limak remains the top-ranked contractor in Kuwait, with $6.052bn of projects at the execution stage. The firm’s ranking reflects its work on the multibillion-dollar expansion of Kuwait International airport Terminal 2 and various road maintenance contracts for the Ministry of Public Works.

  Chinese contractors have significantly increased their footprint in the country. China signed a series of agreements in 2023 that covered the delivery of some of Kuwait’s immediate development goals between 2024 and 2028. These agreements positioned Chinese companies to play a leading role in the Fourth Kuwait Master Plan 2040, and this is now shown in the contractor ranking for 2026.

  China Communications Construction Company (CCCC) takes the second spot with $3.625bn, while China Gezhouba Group Construction holds third with $1.670bn.

  In December last year, CCCC signed a $4bn agreement to develop the next phases of Kuwait’s Grand Mubarak Port on Boubyan Island. In March 2025, China Gezhouba won two contracts worth over $557m from the Public Authority for Housing Welfare for the South Saad Al-Abdullah residential project in Al-Jahra Governorate.

  While Chinese contractors are playing a growing role, local players continue to manage substantial orderbooks, including Al-Ahmadiah with $1.071bn of work under execution, Khalid Ali Kharafi & Sons with $1.017bn of work, and Mohamed Abdulmohsin Al-Kharafi & Sons with $992m.

  Oman

  The Omani construction sector has changed at the top as the value of projects that contractors have at the execution stage has declined. Al-Adrak Trading & Contracting Company has moved into first place with $1.423bn of work. The top-ranked contractor in 2025 had $2.4bn of projects at the execution stage.

  Al-Adrak was the eighth-ranked contractor in 2025, with $700m of projects at the execution stage.

  The local contractor’s recent success has been anchored by securing work on Oman’s new generation of real estate projects. In May 2025, it secured a contract with Saudi developer Dar Global to build the villas and apartments at the Aida project.

  Last year’s top-ranked contractor, Galfar Engineering & Contracting, is now in second place with $1.392bn. Galfar’s portfolio is headlined by the $1.5bn Hafeet Railway project connecting Oman and the UAE.

  Sarooj Construction Company follows closely in third with $1.372bn, while India’s Larsen & Toubro maintains a strong presence in fourth with $906m. Overall, the market shows further softening in 2026, with contractors across the rest of the ranking holding less work than in 2025, when the 10th-ranked contractor, PowerChina, had $500m of projects under construction. In 2026, it has $250m.

  Qatar

  Qatar’s market is transitioning into a post-World Cup phase, focusing on social infrastructure and utility projects. Midmac Contracting Company has moved to the top spot with $2.082bn, nearly doubling the value of projects held by the second-ranked UCC Holding, which has $1.05bn.

  Midmac’s return to the top 10 and the top of the ranking is largely due to it recently securing the $2bn Amiri flight facilities project at Hamad International airport, while UCC’s work remains centred on public-private partnership school schemes and road infrastructure for Ashghal.

  The contracting joint venture of Qatari Diar and Saudi Binladin Group, QD-SBG Construction, is in third position with $843m. Its largest ongoing project is Al-Rafidain Mall for Abraaj Al-Mustaqbal RealEstate.

  As the Qatari market transitions, four other contractors have moved into the top 10 in 2026. They are Badr Contracting & Trading with $534m of projects under execution, Al-Masaken Trading & Contracting Company with $400m, Marbu Contracting Company with $395m and Al-Mohannadi Group with $369m. As these contractors join the ranking, Consolidated Contractors Company (CCC), Shelter Contracting, InfraRoad Trading & Contracting Company, Changda Construction and American International Contractors Incorporated have moved out of the top 10.

  Saudi Arabia

  Much is changing in Saudi construction, but one constant is Nesma & Partners’ position at the top of the kingdom’s contractor ranking. While its position remains the same, the value of construction work that Nesma has under execution has decreased significantly when compared to 2025. This year, the contractor tops the Saudi ranking with nearly $9bn of work; last year it led with nearly $14bn of work.

  Nesma is not the only contractor that has experienced a reduction. Second-placed Almabani has $6.5bn of projects under construction this year compared with $8.5bn in 2025. Third-placed contractor Saudi Binladin Group has maintained a total of about $6.5bn over 2025 and 2026, and this has allowed the Jeddah-based contractor to jump up from seventh position last year. The company is working on several high-profile projects in the kingdom, including the world’s tallest tower in Jeddah, which will be over 1,000 metres tall.

  All the other contractors in the top 10 have similar declines in the value of their projects under execution. The exception is the local Building Contracting Company, which joins the top 10 in 10th position with $3.2bn of work. The 10th-ranked contractor in 2025 was China Harbour Engineering Corporation with $5.9bn of work, a total that in 2025 would have meant it would be the fourth-ranked contractor in 2026.

  The reduction in work volumes reflects the ongoing reprioritisation of projects in Saudi Arabia. Government officials have said that while some projects, such as The Line at Neom, have slowed down, other projects, such as those for Expo 2030 Riyadh and the Fifa World Cup in 2034, will be accelerated.

  UAE

  Contractors in the UAE are benefitting from high levels of spending across public infrastructure and real estate. Following on from 2025, Trojan General Contracting continues to lead the UAE ranking. In 2026, it has $7.59bn of projects under execution, up slightly from the $7.2bn recorded in 2025. The Abu Dhabi-based contractor has work on public infrastructure schemes for Abu Dhabi-based government agencies, and this base is supplemented by work on real estate projects across the UAE.

  China State Construction is in second position with $5.618bn under execution. The Beijing-based contractor has risen up the rankings from seventh position last year when it had $4bn of work under execution thanks to a series of deals for the construction of real estate and roads.

  In third position is London-headquartered Innovo with $5.443bn of work at the execution stage. Innovo is working on major real estate developments in Abu Dhabi and Dubai and has quickly grown in recent years to become one of the key players in the UAE’s construction sector.

  Sobha Constructions, the construction arm of property developer Sobha, is in fourth position with just over $5bn of work under execution. It is the main contractor for Sobha’s projects, which include the $763m Sobha Reserve and the $400m Skyvue Towers at Sobha Hartland 2.

  The local Dutco, with $4.43bn of work under execution, has joined the top 10 in fifth position. The contractor has picked up a wide range of work on Dubai real estate projects over the past two years. Three other contractors in the ranking, Ginco, Unec and Arabian Construction Company, also work extensively on real estate projects in Dubai and Abu Dhabi. The local Alec is active in the real estate sector too. Additionally, it is working on a large data centre project in Abu Dhabi as well as the Wynn resort in Ras Al-Khaimah.

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  Colin Foreman
• 
  Oman dam strategy tested by heavy rainfall

  30 March 2026

  

   

  Oman has steadily expanded its dam infrastructure capacity over the past decade, but recent rainfall suggests the system is also being tested by how water arrives and is managed.

  Last week, the Ministry of Agriculture, Fisheries & Water Resources said it would release water from dams when levels exceed 75%, a routine measure that helps manage flood risk as wadis surge.

  Following heavy storms, several dams have been reported to exceed 90% capacity, increasing the likelihood that water is released rather than retained and thus reducing the overall benefit of intense rainfall events.

  According to MEED Projects, 15 major dams and three reservoir schemes have been completed in Oman since 2009.

  Contract awards

  In 2025, contract awards for dam projects in the sultanate reached $100m for just the third time in the past decade.

  Muscat-based Premier International Projects won two of the three contracts awarded for projects last year.

  These include the construction of a recharge dam at Wadi Keed (Wilayat Bahla) in Ad Dakhiliyah Governorate and a flood protection dam (Neyabat Lima) in Musandam Governorate.

  The Neyabat Lima scheme, at 355 metres long and 37.3 metres high, will provide about 5.5 million cubic metres of storage and is designed as much to manage flood flows as to capture runoff.

  A third contract was awarded to state-owned Egyptian contractor Arab Contractors, covering flood protection dams at Wadi Al-Zyhimi in North Al-Batinah Governorate. All three projects are scheduled for commissioning in 2028.

  In addition to the Wadi Al-Zyhimi project, construction is advancing on two other projects as Oman adds more targeted storage.

  The Deem strategic reservoir in Muscat will provide 150,000 cubic metres of capacity, equivalent to two days of demand, when it comes online next year. 

  Meanwhile, the $108m Wadi Aday Gorge (G2) dam, due for completion this year, is aimed at protecting built-up areas downstream of Al-Amerat.

  Project pipeline

  Looking ahead, new tenders indicate that this phase of expansion is not yet complete.

  The ministry recently opened bidding for a contract to build a flood protection dam at Wadi Rijma in Liwa, North Batinah. The Wadi Rijma scheme is one of four schemes backed by a $632m loan from the Islamic Development Bank.

  The dam projects are:

  • The Wadi Al-Khoud Flood Protection Dam (AK01) in Seeb
  • The Wadi Rijma Flood Protection Dam (R2A) in Liwa
  • The Wadi Majlas Flood Protection Dam in Qurayat
  • The Wadi Ahin Flood Protection Dam in Saham North

  Further contracts worth about $170m are expected to be awarded in the near term, covering both recharge and flood protection dams. Should these contracts be awarded, as expected in 2026, it will be the first time investment in water storage projects has surpassed $100m in consecutive years.

  Beyond this, up to 10 projects remain in the front-end engineering and design stage, the largest of which involves a $100m recharge dam in Wilayat Samail and Izki in Ad Dakhiliyah Governorate. Most of these are due to come online by the end of the decade.

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  Mark Dowdall
• 
  Risk accelerates Saudi spending shift

  27 March 2026

  Commentary
  John Bambridge
  Analysis editor

  The headline story of Saudi Arabia’s project economy in 2026 is what is no longer being built: The Line deferred. The Mukaab suspended. Trojena stripped of its marquee event. Saudi Arabia’s construction sector is in a period of readjustment, pivoting away from prestige-driven capital expenditure towards deliverable priorities.

  Operation Epic Fury changes none of this. The pivot was already under way following the Public Investment Fund’s board review in late 2024, which cut budgets across more than 100 investee companies by up to 60%. However, the Iran war has helped accelerate and clarify the shift.

  Grasping the full picture of this pivot, it is less austere than it might appear. Project awards declined in 2025, but remained above historical averages, resulting in a net gain for the sector.

  Activity generally remains strong. Saudi Arabia’s rail network is expanding on multiple fronts: the Jeddah Metro Blue Line has returned to procurement, while high-speed and national rail projects are advancing. Desalination capacity is forecast to nearly double by 2031, and wind power contract values surged by 175% in 2025. Saudi Aramco is maintaining high capital expenditure in 2026, focused on offshore projects and gas production.

  These programmes may not attract the global attention of a 170-kilometre mirrored city, but they share something gigaprojects often lacked: a clear functional return. Water security, energy diversification, transport connectivity and domestic gas supply are the load-bearing infrastructure of a modern economy. The kingdom is now building that infrastructure again in earnest.

  The closure of the Strait of Hormuz has made the strategic logic of this reorientation even harder to ignore. Glitzy projects do not secure borders. By contrast, a country that cannot guarantee the security of its export corridors is strongly incentivised to invest in infrastructure that supports its domestic economic base and strengthens resilience. Every desalination plant, rail link and gigawatt of renewable capacity reduces Saudi Arabia’s exposure to external shocks.

  The medium-term direction was already clear: capital was being redeployed from speculative projects towards infrastructure with bankable returns. That rationale has now gained additional strategic weight.

  As Saudi Arabia’s project economy matures, what is emerging is less photogenic but far more defensible: the infrastructure backbone that Vision 2030 always required, and that the kingdom’s exposure to regional instability now demands. The Iran war did not create this shift, but it has removed any remaining argument for reversing it.

  

   

  ---

  MEED’s April 2026 report on Saudi Arabia includes:

  > GVT &: ECONOMY: Riyadh navigates a changed landscape
  > BANKING: Testing times for Saudi banks
  > UPSTREAM: Offshore oil and gas projects to dominate Aramco capex in 2026
  > DOWNSTREAM: Saudi downstream projects market enters lean period
  > POWER: Wind power gathers pace in Saudi Arabia
  > WATER: Sharakat plan signals next phase of Saudi water expansion
  > CONSTRUCTION: Saudi construction enters a period of strategic readjustment
  > TRANSPORT: Rail expansion powers Saudi Arabia’s infrastructure push

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

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  John Bambridge
• 
  Remaking construction in Saudi Arabia

  27 March 2026

  

   

  As the Public Investment Fund (PIF) took a leading role in developing projects following the launch of Vision 2030, it quickly realised that Saudi Arabia’s construction sector needed support if the kingdom was to achieve its broader economic ambitions.

  The PIF’s National Development Division (NDD) is the entity tasked with building capacity and capability in the construction sector to support PIF projects and other strategically important schemes in the kingdom. 

  “Our job is to facilitate the development of the local value chains, which are essential to support the development and operations of PIF portfolio companies,” says Leyla Abdimomunova, head of real estate and construction, National Development Division, PIF.

  The scale of this undertaking requires a multi-front strategy, targeting everything from consultancy services and contracting capacity to raw materials and advanced technologies. 

  “The focus is on design and construction services, building materials, construction equipment and the value chain for all things in construction technology. This work requires engagements with stakeholders within the PIF portfolio: development and contracting companies where PIF has a share,” says Abdimomunova. “We also work closely with governmental stakeholders – including the Ministry of Municipalities & Housing, the Ministry of Investment and the Ministry of Industry & Mineral Resources – alongside our private sector partners, to ensure alignment across the ecosystem. 

  “This collaboration approach is essential to addressing market challenges holistically and creating an environment where businesses can invest, grow and participate more effectively in Saudi Arabia’s development,” she notes.

  Unified strategy 

  The integrated approach was born out of necessity. 

  “When we started this work five years ago, the initial challenge we dealt with was the shortage of the local supply of construction services and materials,” says Abdimomunova.

  To bridge the gap, the NDD looked to both support local players and attract international firms. 

  “The focus was on the localisation of the supply chain, bringing the manufacturing capacity into the kingdom by either expanding the existing capacities of local players or installing new capacity together with local players, but also bringing foreign investments into the country to set up factories,” she says.

  On the services side, the challenge was reputational. Riyadh had to convince the world’s best builders that the Saudi market had fundamentally changed. While courting global giants, the NDD also had to address the fragmentation of the domestic market. 

  “We found that there were two primary obstacles in our portfolio: a high concentration of contractors on one hand, and underutilised capabilities of the local contractors on the other hand.”

  The challenge was moving the large number of small and medium-sized enterprises (SMEs) from the periphery to the core of the PIF’s portfolio of projects. 

  “In order to overcome these obstacles, a lot of focus was on attracting international contractors – those that were not working in the kingdom at the time – in order to expand and diversify the pool of contractors, while also putting a lot of effort into building up the capabilities within the local market,” Abdimomunova notes. 

  “The local contracting market is very fragmented. A large proportion of contractors are SMEs, and only the large Saudi contractors are predominantly known inside the kingdom. 

  “We put in place programmes to support the development of the medium-sized contractors and increase their visibility to our development companies,” she says.

  A lot of effort went into making sure contractors have access to financing
  Leyla Abdimomunova, National Development Division, PIF

  The NDD has also introduced practical upskilling and financial tools. “We put in place a few tools, working together with ecosystem partners. For example, the Prequalification Platform, which was launched and is being operated with the Saudi Contractors Authority, [and] contractor upskilling bootcamps that have been delivered by our development companies to provide contractors with the basic understanding needed to be able to bid for projects.

  “A lot of effort went into making sure contractors have access to financing,” Abdimomunova adds.

  Indeed, addressing the finances of the construction sector was another critical area for the NDD. 

  By moving beyond traditional methods and practices, it has introduced more flexible liquidity options for the industry. 

  “We launched the Contractor Financing Programme to expand access to financing and strengthen liquidity for contactors supporting Saudi Arabia’s development pipeline. 

  “In partnership with the National Infrastructure Fund, we introduced guarantee mechanisms to unlock additional bank lending capacity, alongside a new product for the region: surety bonds – as an insurance alternative to traditional bank guarantees,” says Abdimomunova. 

  “Since receiving regulatory approval last year, 34 surety bonds have already been issued, helping contractors participate more effectively in large-scale projects.”

  Adjusting priorities

  With the foundational work established, the NDD is now shifting its focus towards streamlining the experience for international companies and tackling the sector’s long-standing structural hurdles. 

  Looking ahead, the NDD intends to tackle the perennial problems of the industry – payment delays and productivity – to ensure that the transformation of the sector is permanent.

  “Going forwards, our work will go one level deeper, focusing on resolving structural challenges and strengthening the underlying enablers that support private sector participation. 

  “We are working closely with our partners across Saudi Arabia to ensure these improvements are sustainable, scalable and embedded not only within the PIF’s ecosystem, but across the broader national economy,” Abdimomunova concludes. 

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  Colin Foreman
• 
  Contractor appointed for Morocco grand stadium rail station

  27 March 2026

  Moroccan construction firm Jet Contractors has won a contract to build a railway station at the Grand Stade Hassan II stadium in Benslimane, as part of the Kenitra-Marrakech high-speed rail project.

  The estimated $45m deal was awarded by the Moroccan National Railways Office (ONCF).

  The new station will serve the 115,000-seat Grand Stade Hassan II and will allow passengers to travel from Casablanca and Rabat in 20 minutes using the high-speed rail network.

  It is expected to handle around 12 million passengers a year. Construction of the station is scheduled for completion in 2028.

  Construction work on the main stadium started in June last year, when a joint venture of local contractors Travaux Generaux de Construction de Casablanca and Societe Generale des Travaux du Maroc was awarded a $320m contract for the next stage of works on the stadium. The venue will be one of the hosts for the 2030 Fifa World Cup.

  The stadium is being built on a 100-hectare site in the El-Mansouria area of Benslimane Province, 38 kilometres north of Casablanca.

  Morocco has been investing heavily in upgrading its infrastructure for the football World Cup, which it is co-hosting with Spain and Portugal.

  Morocco was effectively confirmed as a host country alongside Spain and Portugal in October 2023, after the group emerged as the sole bidder for the event. The official selection was announced in December last year.

  Along with building a stadium in Benslimane, the Moroccan government plans to revamp six existing stadiums in Agadir, Casablanca, Fez, Marrakech, Rabat and Tangier, and upgrade air, road and rail projects.

  Last year, Morocco’s transport and logistics minister unveiled a MD96bn ($9.5bn) investment plan to transform the country’s rail infrastructure by 2030.

  The announcement followed the award of about MD20bn-worth of contracts in November 2024 – mostly to local and Chinese firms – for civil works packages on the Marrakech-Kenitra high-speed rail line.

  The link will extend the Al-Boraq railway, a high-speed rail line between Tangier, Rabat and Casablanca. The line started operating in 2018 and was Africa’s first high-speed railway system.

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  Yasir Iqbal