Reports state road building contracts worth $587 million were recently signed in Saudi Arabia, with more contracts set to be agreed on next month.
SPA, the state controlled news media, reported six additional projects are awaiting approval. They are worth SAR 583 million and are expected to be signed next month.
Public spending has increased over the last 2 years as Saudi Arabia attempts to battle the negative effects of the worldwide economic crisis. There are plans to spend $143.9 billion this year, a record high for expenditures.
Saudi is also on track to spend $400 billion over a five-year plan ending in 2013. The investment plan is designed to improve infrastructure, create a more diversified economy and supply jobs for Saudi’s increasing local population that has reached 18 million.
Other contracts worth $2.4 billion have been signed by the ministry of transport and the ministry is planning to set 6 additional projects into motion next month, totaling $155.4 million.
During the first quarter of this year the government issued $27.6 billion worth of work with the construction and education sectors totaling 3,184 contracts, according to the finance ministry. Saudi Arabia drafted its budget for 2010 in December 2009, reporting $143.9 billion in spending and a budgetary gap of $18.6 billion.Andrew Reid, Staff Writer, Gulf Jobs Market News