'Economic Cities,' Saudi Arabia's Mega Projects

Saudi Arabia's government has made huge investments in the hopes of building new cities and districts to attract investment and tourism, despite past failures.

1 minute read

August 21, 2017, 11:00 AM PDT

By Casey Brazeal @northandclark


King Abdullah Financial District in Riyadh

New buildings under construction in the King Abdullah Financial District in Riyadh. | Ali Al-Awartany / Shutterstock

Saudi Arabia's program to build new "Economic Cities" includes more than one plan for developments over 50 square miles, whether these will attract the tourists and business development they seek to spur, remains to be seen. "The kingdom is converting thousands of square kilometers of sand into new cities as it seeks to diversify away from crude, create jobs and boost investment," Sarah Algethami writes in Bloomberg Business.

These initiatives look to kickstart some projects that have been slow to take off and will include two new projects. One project announced in July aims to attract tourists to Saudi Arabia's beaches on over 50 islands in the Red Sea. The area of this project is bigger than Belgium. Some have pointed out cultural barriers to attracting tourists including the country's alcohol restrictions and clothing requirements.

Plans were also announced for a city called Al Faisaliyah, "The city will have residential units, entertainment facilities, an airport and sea port," Algethami reports. The kingdom announced these plans despite the slow growth of its many previous attempts at mega projects including the King Abdullah Financial District of 70 buildings that has yet to attract a single institution.

Monday, August 14, 2017 in Bloomberg

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Get top-rated, practical training

Close-up of "Apartment for rent" sign in red text on black background in front of blurred building

Trump Administration Could Effectively End Housing Voucher Program

Federal officials are eyeing major cuts to the Section 8 program that helps millions of low-income households pay rent.

April 21, 2025 - Housing Wire

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

April 30, 2025 - Diana Ionescu

Ken Jennings stands in front of Snohomish County Community Transit bus.

Ken Jennings Launches Transit Web Series

The Jeopardy champ wants you to ride public transit.

April 20, 2025 - Streetsblog USA

Close-up of white panel at top of school bus with "100% electric" black text.

Driving Equity and Clean Air: California Invests in Greener School Transportation

California has awarded $500 million to fund 1,000 zero-emission school buses and chargers for educational agencies as part of its effort to reduce pollution, improve student health, and accelerate the transition to clean transportation.

April 30 - California Air Resources Board

Aerial view of Freeway Park cap park over I-5 interstate freeway in Seattle, Washington at night.

Congress Moves to End Reconnecting Communities and Related Grants

The House Transportation and Infrastructure Committee moved to rescind funding for the Neighborhood Equity and Access program, which funds highway removals, freeway caps, transit projects, pedestrian infrastructure, and more.

April 30 - Streetsblog USA

"No Thru Traffic - Open Streets Restaurants" sign in New York City during Covid-19 pandemic.

From Throughway to Public Space: Taking Back the American Street

How the Covid-19 pandemic taught us new ways to reclaim city streets from cars.

April 30 - Next City