Water is considered one of the most important strategic sectors in the Kingdom, as is highlighted by the inclusion of sustainable water resource management as a key objective of the Kingdom's Vision 2030. Saudi Arabia is already one of the most advanced nations in the water sector. The Kingdom is a global leader in desalination, has the largest market for water reuse in the GCC, and is a pioneer in water technology innovation, up-scaling, and research.
The Kingdom's water sector offers significant, lucrative investment opportunities, linked to a clear water sector strategy, with ambitious targets backed by a committed government. Many opportunities are emerging for domestic and foreign investors along the entire water value chain and across multiple investment dimensions, from infrastructure, through local manufacturing to sector digitalization
Explore Saudi Arabia's
estimated capital investments in water and sanitation projects by 2025
per day of additional desalination capacity estimated by 2026
of water needs to be supplied through desalination by 2030
targeted reduction of water leakages by 2030
of additional water transmission lines estimated by 2025
targeted increase in sewage network coverage by 2030
per day of additional sewage treatment capacity estimated by 2030 to achieve 100% treatment
water reuse targeted by 2040
Large and growing market demand for water
- With a population of around 35 million and one of the highest water consumptions per capita in the world, the size of the Kingdom's water demand (around 15 million m3 per day for municipal and industrial use) and associated need for infrastructure is significant, with $67 billion in estimated capital investments by 2025
- The Kingdom features a water supply capacity of around 8 million m3 of desalination and water reuse.
- Saudi Arabia's water sector has grown at an annual rate of 5-10%, driven by robust industrial production growth and sustained population expansion.
Global leader in desalination
- Saudi Arabia has the world's largest desalination market, accounting for over 20% of global capacity, with around 8 million m3 of desalinated water produced each day.
- The Kingdom boasts over 40 available desalination units with plans to construct 5.5 million m3 per day of additional desalination capacity by 2026 to cover 90% of its potable water needs by 2030.
- More than $10 billion is anticipated to be spent in desalination projects by 2030, creating significant possibilities for the private sector to participate.
- Growing desalination capacity to meet increasing consumption will require additional transmission capacity, with the expansion estimated at around 3,000 km by 2025.
- Reducing network leakages to 15% by 2030 will require significant upgrades of the existing transmission and distribution lines, including digitization of the network
- The Kingdom plans to increase its wastewater treatment capacity by 5.5 million m3 by 2030 to accommodate for the growth in demand, while increasing its sewage network coverage to over 95% by 2030.
- Ambitious goals of 100% wastewater treatment by 2030 and 90% water reuse by 2040 have been set, with the goal of transforming current and future wastewater treatment assets into strategic water supply units for the industrial sector.
- Multiple water reuse projects and initiatives are being implemented across the water sector, making this market very attractive to foreign investors.
- The Kingdom has introduced water reuse initiatives to secure eco-friendly water supply while also promoting the market's long-term financial viability.
- Saudi Arabia is at the global forefront of water technology research and innovation and aims to further anchor water technology capabilities in its local ecosystem.
- Several players in the Kingdom's water sector are involved in multiple innovative projects such as solar-powered desalination or improved membrane technologies and are key strategic partners and co-investors to develop and commercialize the water technologies of the future.
Strong commitment to develop infrastructure beyond desalinatio
Strong ambitions to further anchor water capabilities and expertise locally
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