Saudi authorities issued approximately 113,519 construction licenses in 2014 compared with 100,756 licenses a year earlier, signalling an increase of 13 per cent, official data shows.
Roughly 89 per cent or 101,544 of these licenses were issued for the construction of houses and commercial buildings, according to a Ministry of Municipal and Rural Affairs report.
The remainder of licenses were issued for the construction of industrial facilities, educational and health buildings, mosques and government buildings, the report, published by Al-Eqtisadiah, indicates.
In terms of geographical distribution of new construction licenses, the capital, Riyadh, continues to account for the lion’s share, followed by Makkah, Eastern Province, Qassim, Madina and Asir,in that order.
Pundits and industry sources say that growth ratios in the Saudi construction domain have been fluctuant in the past decade.However, the past couple of years saw a remarkable expansion across all sub-sectors.
Strong growth is evident in the housing sector as the government continues to work to find a solution to the country’s housing issue, the experts add.
They voiced dismay with the recruitment of unqualified construction workers and called for Saudi youths to work in this key field of the economy.