Saudi Arabia’s real estate price index rises 1.7%: GASTAT

According to the General Authority for Statistics, housing sector prices increased by 2.8 percent year-on-year in the second quarter, mainly due to a 2.8 percent rise in land plot costs. Shutterstock
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Updated 02 August 2024
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Saudi Arabia’s real estate price index rises 1.7%: GASTAT

  • Housing sector prices increased by 2.8% year-on-year in the second quarter
  • Kingdom’s market volume is projected to reach $69.51 billion in 2024 and $101.62 billion by 202

RIYADH: Saudi Arabia’s real estate price index edged up by 1.7 percent in the second quarter of 2024, compared to the same period last year, driven by a surge in residential sector costs, official data showed.  

According to the General Authority for Statistics, housing sector prices increased by 2.8 percent year-on-year in the second quarter, mainly due to a 2.8 percent rise in land plot costs. 

The development of the residential sector is crucial for Saudi Arabia’s economic diversification as it evolves into a tourism and business hub. 

The Kingdom’s real estate industry is among the fastest-growing sectors in the Middle East. Its market volume is projected to reach $69.51 billion in 2024 and $101.62 billion by 2029, with an estimated compound annual growth rate of 8 percent, according to the Real Estate General Authority. 

“Given the heavy weight of the residential sector in the general index, it had a significant impact on the rise in the general index,” stated GASTAT.  

Apartment prices increased by 2.9 percent year-on-year in the second quarter. 

GASTAT, however, noted that the real estate prices in the commercial sector decreased by 0.4 percent year-on-year in the second quarter, affected by the decrease in the prices of commercial land plots by 0.4 percent.  

The report highlighted that the prices of commercial buildings and commercial centers stabilized in the second quarter of this year, and no significant relative change was recorded.  

Agricultural land plot prices increased by 1.5 percent year-on-year in the second quarter. 

Compared to the first three months of this year, the real estate price index surged by 1.1 percent in the second quarter.  

“The quarterly real estate index was affected by the rise in residential sector prices by 1.6 percent, influenced by the rise in prices of residential land plots, which rose by 1.6 percent,” said GASTAT.  

The prices for apartments increased by 2.1 percent quarter-on-quarter in the second quarter, while the purchasing costs of villas edged up by 0.1 percent.  

The prices of the commercial sector recorded stability and did not record any significant relative change in the second quarter compared to the first three months.  

Agricultural land prices rose by 1.6 percent in the second quarter compared to the first quarter.


Saudi Arabia’s cultural sector is a new economic engine between Riyadh and Paris, says ambassador

Updated 25 January 2026
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Saudi Arabia’s cultural sector is a new economic engine between Riyadh and Paris, says ambassador

RIYADH: Culture has become a fundamental pillar in bilateral relations between France and Saudi Arabia, according to the French Ambassador to the Kingdom, Patrick Maisonnave.

Maisonnave noted its connection to the entertainment and tourism sectors, which makes it a new engine for economic cooperation between Riyadh and Paris.

He told Al-Eqtisadiah during the opening ceremony of La Fabrique in the Jax district of Diriyah that cultural cooperation with Saudi Arabia is an important element for its attractiveness in the coming decades.

La Fabrique is a space dedicated to artistic creativity and cultural exchange, launched as part of a partnership between the Riyadh Art program and the French Institute in Riyadh. 

Running from Jan. 22 until Feb 14, the initiative will provide an open workspace that allows artists to develop and work on their ideas within a collaborative framework.

Launching La Fabrique as a space dedicated to artistic creativity

The ambassador highlighted that the transformation journey in the Kingdom under Vision 2030 has contributed to the emergence of a new generation of young artists and creators, alongside a growing desire in Saudi society to connect with culture and to embrace what is happening globally. 

He affirmed that the relationship between the two countries is “profound, even cultural par excellence,” with interest from the Saudi side in French culture, matched by increasing interest from the French public and cultural institutions unfolding in the Kingdom.

Latest estimates indicate that the culture-based economy represents about 2.3 percent of France’s gross domestic product, equivalent to more than 90 billion euros ($106.4 billion) in annual revenues, according to government data. The sector directly employs more than 600,000 people, making it one of the largest job-creating sectors in the fields of creativity, publishing, cinema, and visual arts.

Saudi Arabia benefiting from French experience in the cultural field

Maisonnave explained that France possesses established cultural institutions, while Saudi Arabia is building a strong cultural sector, which opens the door for cooperation opportunities.

This comes as an extension of the signing of 10 major cultural agreements a year ago between French and Saudi institutions, aiming to enhance cooperation and transfer French expertise and knowledge to contribute to the development of the cultural system in the Kingdom.

He added that experiences like La Fabrique provide an opportunity to meet the new generation of Saudi creators, who have expressed interest in connecting with French institutions and artists in Paris and France.

La Fabrique encompasses a space for multiple contemporary artistic practices, including performance arts, digital and interactive arts, photography, music, and cinema, while providing the public with an opportunity to witness the stages of producing artistic works and interact with the creative process.