With the expansion of the infrastructure industry, the demand for facility management services is surging in Saudi Arabia. The country has witnessed the launch of several construction projects in the recent years, and this trend will continue in the coming years, due to strong government support and the huge investments being made in this industry. For example, the government announced in January 2019 that it intends to invest $426 billion by 2030 for developing industries and infrastructure in the country.
Furthermore, the Ministry of Tourism in the country announced in June 2020 that it plans to launch a tourism development fund with an initial investment of $4 billion. Hence, it is safe to say that the expansion of the construction and tourism industries is fueling the growth of the Saudi Arabian facility management market, with the market revenue expected to grow from $31,264.1 million in 2020 to $87,216.0 million by 2030.
Furthermore, the market will progress at a CAGR of 11.1% between 2021 and 2030. Depending on end user, the market is divided into public administration, business and corporate, industry and manufacturing, healthcare, hospitality, construction, and education categories. Out of these, the business and corporate category dominated the market in 2020, and the situation will not change in the upcoming years. This is credited to the surging investments being made by various companies for expanding their business operations in the country.
In addition, the government is providing strong support to various businesses for expanding their operations in the country, which is, in turn, fueling the growth of this category in the market. As businesses need renting, property accounting, procurement management, contract management, and various other services, their expanding operations in the country are positively impacting the demand for trained professionals. The Saudi Arabian facility management market is also classified, depending on service, into cleaning, property, security, support, catering, and environmental management.
Thus, it is clear that due to the increasing construction and infrastructural development activities and the thriving tourism industry, the demand for facility management services will skyrocket in Saudi Arabia in the coming years.
