Railway Infrastructure Spending Market in Saudi Arabia 2016-2020

Overview of the railway infrastructure spending market in Saudi Arabia

The development of a rail network not only reduces the cost of transportation in terms of money and time but also helps to build connectivity between various regions within a country. In Saudi Arabia, the market for railway infrastructure spending will experience steady growth until 2020, and the prospects for its growth will be positively affected by the government’s growing emphasis on the development of the infrastructure sector in the country. Factors such as the development of railway freight traffic in the country and the construction of a high-speed rail (HSR) network in Saudi Arabia, which focuses on improving the railway connectivity to major cities such as Riyadh and Jeddah, will bolster the prospects for growth in this market until 2020. Extensive market analysis carried out by the analysts at Technavio has shown that the market for railway infrastructure spending in Saudi Arabia will grow at a steady CAGR of around 8% during the estimated period.

Technavio’s market research analyst has estimated that the presence of eminent factors like the augmented focus on sustainable infrastructure development will aid in the growth of this market until the end of the forecast period. In Saudi Arabia, the populace’s growing awareness about sustainability has resulted in an increase in the use of natural resources in many infrastructure and construction projects. Due to this paradigm shift in the populace’s preference, the government is focusing on the development of green infrastructure and buildings to reduce the environmental impact from the usage of conventional materials.

Competitive landscape and key vendors