Construction project grants in the Kingdom of Saudi Arabia are expected to decrease by 20-40 percent this year, according to a report by the Saudi Contractors Authority (SCA).
The authority expects the industry to be affected by the restrictions imposed by the current Covid-19 epidemic and the measures taken to mitigate its spread.
The report revealed that 48% of construction projects in the Kingdom for 2020 were awarded at the beginning of March when the spread of the deadly virus was in its infancy.
It said that the value of projects granted for the first three months of the year amounted to 97.5 billion riyals (26 billion dollars). While it estimated that if the closure continues for the next six months, the total value of the projects will be 120 billion Saudi riyals (32 billion dollars).
The authority also said that Large-scale new infrastructure projects are being impacted, with major impacts on the construction industry.
Saudi Arabia currently boasts the largest number of confirmed coronavirus cases in the GCC (91,182), while 589 people have so far lost their lives in the Kingdom as a result of Covid-19.