Saudi Arabia is leading the world in construction activity, according to the latest Global Construction Monitor from the Royal Institution of Chartered Surveyors (RICS), but this unprecedented boom is being hampered by a severe shortage of skilled and unskilled professionals.
The monitor found Saudi Arabia posting a remarkable construction activity reading of +72 percent in Q4 2023, one of the highest globally. Infrastructure and public works projects are driving this surge, with an eye-watering +82 percent activity level.
The Kingdom’s slate of “giga-projects,” like NEOM, are fueling insatiable demand for construction services and workers. This flurry of projects is creating opportunities but also several key challenges according to industry respondents in the Q1 2024 Global Construction Monitor report. A major issue cited is labor shortages, with frequent mentions of a “shortage of skilled manpower” and difficulty “finding the right caliber of staff.”
With over $1.1 trillion in mega-projects planned or underway, pioneering solutions to the labour crisis will be critical for maintaining Saudi Arabia’s newfound status as the global construction capital.
