Saudi Arabias Ministry of Interior has revived a previously stalled project to develop a number of security compounds across the kingdom.
The $550m scheme to build security compounds in 50 locations had previously been stalled due limited funds for non-essential government projects, but has now been revived, according to a ministry spokesperson, who also told MEED that the main construction tender is set to be launched before the end of the second quarter.
It is understood that the ministry will award the project under one contract.
Saudi Arabias Ministry of Interior has the second largest pipeline of construction projects in the kingdom. According to data from regional projects tracker MEED projects, the ministry currently has $24bn-worth of projects under construction.
There have been a number of projects put on hold over the past two years following the slump in oil prices. Government ministries have been urged not to press ahead with non-essential schemes as the kingdom looks to focus on much needed housing and infrastructure.
Looking at the kingdoms future pipeline of schemes, however, there are promising signs for 2017. Housing and education projects have been proposed under the public-private-partnership (PPP) model, while a number of new reforms have been put in place to encourage private sector investment in real estate and other government schemes.
There are currently $5.8bn-worth of schemes in the man contract bidding stage with $17bn-worth of projects having prequalified main contractors.