Saudi facilities management market set for US$52.5bn growth by 2029

The Middle East Facility Management Association (MEFMA), in collaboration with Frost & Sullivan, has released a comprehensive white paper that provides an in-depth analysis of Saudi Arabia’s facility management (FM) sector.

Published at a time when the Kingdom is accelerating its Vision 2030 transformation, the paper highlights FM’s critical role in shaping sustainable, world-class infrastructure and services.

The report forecasts that the Saudi FM market will expand from US$39.4bn in 2024 to US$52.5bn by 2029, reflecting a compound annual growth rate of 5.9%. It also underscores the government’s strong commitment to infrastructure development, with US$54bn allocated for education in 2025 to enhance facilities, develop curricula, train teachers, and strengthen research and innovation. A US$2.1tn construction pipeline, including giga and mega projects such as NEOM, Red Sea, Qiddiya, AlUla, Diriyah Gate, Amaala, Al Widyan, and Jabal Omar, is set to transform the tourism, hospitality, residential, commercial, entertainment, and utilities sectors. These developments are expected to fuel substantial demand for FM services in the years ahead.

Expo 2030 and the planned launch of King Salman International Airport in 2030, which will be designed to accommodate up to 120mn passengers, are expected to further boost demand for FM expertise across operations, maintenance, and specialised service contracts. Healthcare and education remain the leading end-user segments, accounting for nearly 60% of outsourced FM demand. The healthcare sector in particular is undergoing rapid expansion, with demand projected for thousands of new hospital beds by 2035 and the creation of over 44,000 new industrial jobs. Outsourcing continues to gain momentum, with outsourced FM services growing to 37% of the market in 2024, valued at US$14.3bn.

Jamal Lootah, President of MEFMA, said, “This white paper marks a critical milestone in the development of Saudi Arabia’s facilities management industry, which is playing an increasingly vital role in the success of the Kingdom’s ambitious transformation. As FM becomes more integrated into national infrastructure, sustainability, and service delivery goals, access to accurate, forward-looking insights is essential. This publication reinforces MEFMA’s commitment to providing knowledge-driven content that enables smarter decision-making, promotes sustainable best practices, and aligns closely with the priorities of Vision 2030. Our aim is to empower both public and private sector stakeholders with the strategic foresight needed to plan for long-term impact.”

Eng. Mohannad AlMadhi, MEFMA Board member (KSA) said, “Saudi Arabia’s facilities management sector stands at the heart of the Kingdom’s transformation, underpinning the success of mega projects, urban development, and quality-of-life initiatives. As demand grows in scale and complexity, with all the upcoming PIF led projects, operational excellence is becoming a national imperative. This white paper captures the realities on the ground and charts a path forward that equips industry players with the insights needed to innovate, adapt, and build a world-class FM ecosystem that reflects the ambitions of Vision 2030.”