Saudi Arabia’s Diriyah Company has signed a major contract with China State Construction Engineering Corp (CSCEC) to develop a brand new urban quarter on the western outskirts of the capital Riyadh. The project, valued at $2 billion, will encompass a sprawling 14 square kilometers and will include schools, cultural venues, office spaces, and even a luxury hotel.
This agreement marks a significant step forward in the ever-growing economic ties between Saudi Arabia and China. “The deal with CSCEC is another example of the strengthening economic relationship and constructive business partnerships we are building with China,” said Diriyah’s CEO, Jerry Inzerillo.
For CSCEC, the contract presents a unique opportunity. Wei Chuanhai, head of CSCEC’s Saudi Arabia division, called it a “landmark opportunity to construct a remarkable new city on the outskirts of Riyadh.”
This project is also the first major implementation of Diriyah’s delivery partnership procurement strategy. This approach aims to foster a collaborative environment between Diriyah, the main contractors, small and medium enterprises (SMEs), manufacturers, and suppliers. This collaborative effort is expected to ensure efficient and effective execution of the project.
