Saudi Roundup: Local Manufacturing Accelerates in AI & Maritime

This week’s Saudi Roundup spotlights the increase in infrastructure project permits and entertainment center registrations while also exploring the new partnership between PIF’s Humain and EY to develop Saudi’s first AI-native outsourcing service.

General Business & Economy

Saudi Arabia Undertook 10 Privatization and PPP Projects In H1 2026

Saudi Arabia advanced 10 privatization and public-private partnership (PPP) projects in H1 2026, highlighting continued efforts to expand private-sector participation in the Kingdom’s development agenda. The projects span key sectors and reflect the growing role of private capital and expertise in delivering infrastructure and public services as Saudi Arabia accelerates its privatization and PPP pipeline.

MICE

Saudi Red Sea Yacht Show Targets Over $480M In Investment Returns

Saudi Arabia’s inaugural Red Sea Yacht Show is expected to generate more than SAR 1.8 billion ($480 million) in investment returns through yacht sales, charter services, and luxury tourism. Set to take place at Jeddah Yacht Club & Marina from October 14–17, 2027, the event is expected to feature around 50 yachts and 150 exhibitors, attracting more than 10,000 visitors.

Real Estate & Infrastructure

Riyadh Issues 141K Infrastructure Project Permits Since Start of 2026

Riyadh has issued more than 141,000 infrastructure project permits since the start of 2026, reflecting the scale of ongoing development across the capital. In August alone, more than 19,000 permits were issued, with the projects covering 1,133 kilometers of roads.

RUA, MRCB Explore $5.5B Mixed-Use Development At King Salman Gate In Makkah

Saudi developer RUA AlHaram AlMakki and Malaysia’s MRCB International have signed an agreement to explore a SAR 21 billion ($5.5 billion) transport-oriented mixed-use development at King Salman Gate in Makkah. The proposed project would include a public bus terminal alongside residential, commercial, retail, and other mixed-use developments, combining transport infrastructure with new urban and commercial facilities.

Entertainment

Saudi Entertainment Center Registrations Jump 62% In Two Years

The active commercial registrations for entertainment centers reached 8,462 by the end of H1 2026, up nearly 62% from 5,216 in 2024, according to Ministry of Commerce data. The increase reflects the rapid expansion of entertainment venues across the Kingdom, particularly children-focused centers in shopping malls and residential neighborhoods, as demand for leisure and family entertainment continues to grow.

Industry

Rolls-Royce Becomes First High-Speed Engine Manufacturer To License Local Production In Saudi Arabia

Rolls-Royce has signed an agreement with Saudi Engines Manufacturing Company (MAKEEN) to locally manufacture and assemble mtu Series 2000 high-speed marine engines in Saudi Arabia, making it the first high-speed engine manufacturer to license local production in the Kingdom. The agreement supports Saudi Arabia’s industrial localization goals and is expected to strengthen local capabilities for local marine applications.

Tech & AI

PIF’s Humain, EY To Develop Saudi Arabia’s First AI-Native Outsourcing Service

Humain and EY MENA are expanding their collaboration to develop Saudi Arabia’s first AI-native business process outsourcing service. The planned offering will combine Humain’s AI infrastructure and agentic AI platform with EY’s industry expertise and commercialization capabilities.