Saudi Arabia’s MODON Invests $98 Bln in 36 Industrial Cities

Saudi Arabia continues to develop the industrial sector, diversify its activities and adopt the Fourth Industrial Revolution. (Asharq Al-Awsat)
Saudi Arabia continues to develop the industrial sector, diversify its activities and adopt the Fourth Industrial Revolution. (Asharq Al-Awsat)
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Saudi Arabia’s MODON Invests $98 Bln in 36 Industrial Cities

Saudi Arabia continues to develop the industrial sector, diversify its activities and adopt the Fourth Industrial Revolution. (Asharq Al-Awsat)
Saudi Arabia continues to develop the industrial sector, diversify its activities and adopt the Fourth Industrial Revolution. (Asharq Al-Awsat)

The Saudi Authority for Industrial Cities and Technology Zones (MODON) announced that it has increased the number of its industrial cities to 36 by the end of 2020 to include more than 4,000 factories, with investments worth $98 billion.

Director of Marketing and Corporate Communications Department, and acting spokesperson of MODON, Qusay al-Abdulkarim, said that MODON aims to support the industrial sector in the Kingdom through its supervision of industrial cities, complexes, private industrial cities and technology zones.

Abdulkarim stressed that the authority’s performance witnessed a historic shift with the launch of the Kingdom’s Vision 2030.

MODON has a qualitative strategy to empower the industry and increase local content by creating an environment suitable for innovative products and services, capable of keeping pace with the aspirations of its partners in the private sector.

The strategy also aims to attract and localize local and global investments with added value to the industrial cities and help boost the role of the non-oil sector.

He pointed out that there are over 6,500 industrial, service, and logistical contracts, and 945 ready-made factories, while the areas of developed industrial lands increased to nearly 200 million square meters.

He announced the cooperation between MODON and the General Authority for Military Industries to localize 50 percent of military spending and support Saudi plans to make military industries an essential economic development sector.

There are over 915 food and beverage factories in MODON’s industrial cities, and about 173 medical factories that contribute to achieving food and medical security in the Kingdom, according to Abdulkarim.

As part of its plans to adopt the Fourth Industrial Revolution and digital transformation in the industrial sector, MODON launched the National Productivity Program in partnership with the National Industrial Development Fund and King Abdulaziz City for Science and Technology.

The program helps factories achieve the highest production efficiency rates and adopt the Fourth Industrial Revolution.

Abdulkarim pointed out that the industrial cities host over 517,000 workers, including 185,000 males and 17,000 females, working in various industries and fields, such as food and beverage products, medical supplies, metals, building materials, machinery and equipment, vehicles, and many others.

He indicated that MODON is working to enhance the role of women in industrial development and increase their investments in the sector to 20 percent by 2030.



Saudi Homeownership Rate Approaches 2030 Target

 A project of the Saudi Ministry of Municipalities and Housing (Asharq Al-Awsat)
 A project of the Saudi Ministry of Municipalities and Housing (Asharq Al-Awsat)
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Saudi Homeownership Rate Approaches 2030 Target

 A project of the Saudi Ministry of Municipalities and Housing (Asharq Al-Awsat)
 A project of the Saudi Ministry of Municipalities and Housing (Asharq Al-Awsat)

Saudi Arabia is steadily progressing toward achieving its housing program targets under Vision 2030, with homeownership rates among Saudi families reaching 63.7% in the past year. This marks a significant step toward the program’s goal of 70% homeownership by the end of the decade.
According to a recent report from the Ministry of Municipal and Rural Affairs and Housing, more than 205,000 off-plan housing units were licensed and launched in 2024, with over 60,000 units delivered. Additionally, Sakani, the government’s housing initiative, made 165,000 plots of land available, allowing beneficiaries to build homes tailored to their future needs.
To support low-income families, the ministry provided over 50,000 housing units, reinforcing its commitment to sustainable social housing solutions. Efforts continue to diversify options and create integrated residential communities that meet citizens’ needs. The Real Estate Development Fund (REDF) deposited SAR 11.9 billion ($3.1 billion) into the accounts of Sakani beneficiaries last year. The program offers digital services that help recipients customize their housing support and select optimal financing solutions.
By the end of 2024, more than 122,000 families had benefited from Sakani’s housing support services. The “Your Installment is Your Support” program, which offers flexible payment options for off-plan and self-construction homes, recorded 2,700 beneficiaries. Additionally, 107,000 housing finance contracts were signed, demonstrating the continued growth of the sector. Financing solutions with a reduced interest margin of 2.59% were provided to over 22,000 Sakani beneficiaries in the low-income category. Meanwhile, nearly 962 beneficiaries received subsidized installment plans, and 59,000 low-income families secured government-supported mortgage loans. In total, Sakani provided approximately 70,000 financing packages for off-plan, ready-built, and self-construction homes.
In its latest quarterly report, Sakani outlined key initiatives aimed at enabling Saudi families to own their first home. The program continues to expand housing options and financial solutions to improve homeownership rates, enhance citizens’ quality of life, and align with Vision 2030 housing objectives. The report highlighted a variety of financial solutions used by families in late 2024, including off-plan units, self-construction, ready-built homes, and land support programs. By year-end, more than 107,000 financing contracts had been signed, with nearly 58,000 benefiting low-income families.
To cater to different financial needs, Sakani offers a range of customized financing solutions, including financial support packages, down payment assistance, in-kind support, reduced financing margins, affordable mortgage plans, flexible installment options, and mortgage guarantee programs.