Madinah Advances Development Projects Worth Over $53bn 

RIYADH: Saudi Arabia’s Madinah region is advancing more than 224 development projects valued at over SR200 billion ($53 billion), underscoring the Kingdom’s accelerating investment drive, according to a new report. 

Data released by the Al-Madinah Al-Munawara Chamber showed that the region’s real estate market recorded transactions exceeding SR2.7 billion in the first quarter of 2025, reflecting an annual growth of about 8 percent. 

Madinah has emerged as one of Saudi Arabia’s fastest-growing regional economies, driven by major investments in construction, trade, and tourism. In 2025, the region recorded strong first-quarter growth, with construction accounting for 24 percent of the workforce and trade for 20 percent, reflecting ongoing diversification efforts. 

“These investments are diversified across various economic sectors such as trade, tourism, construction, transportation, health, education, and others,” the report said. 

It added: “The projects are expected to contribute to providing more than 125,000 direct job opportunities, a major development the region is witnessing.” 

The chamber also highlighted promising investment opportunities in the Investors’ Zone, reflecting optimism about Madinah’s long-term growth prospects across trade, logistics, technology, and real estate. 

The report reaffirmed the chamber’s commitment to providing detailed analytical insights to help businesses make informed strategic decisions. These insights, backed by comprehensive data, aim to foster regional economic growth and align with the objectives of Vision 2030. 

In February, the Madinah Region Development Authority reported improvements in quality of life, economic growth, and cultural initiatives. The region ranked 88th globally in Euromonitor International’s 2024 Top 100 City Destinations Index and seventh in the Tourism Performance Index, with 3,200 sites listed in the National Urban Heritage Register. 

Saudi Arabia has also eased restrictions on foreign ownership in real estate, allowing international investors to purchase shares in listed firms that hold property in Makkah and Madinah — a move expected to attract additional capital inflows into the region. 

In August, a Knight Frank report noted that Madinah led the Kingdom in growth, with residential transactions in the holy city surging 49 percent year on year to SR3.4 billion, while volumes climbed 38 percent. 

Large-scale, government-backed projects are also reshaping the urban landscapes of Makkah and Madinah, enhancing their livability and appeal to residents and pilgrims alike, while advancing Saudi Arabia’s broader tourism and economic development objectives.