Saudi Construction Cost Index rises 2.3% in July 2026
The index hit 104 points in July 2026: GASTAT
Saudi Arabia's Construction Cost Index (CCI) rose by 2.3% year-on-year (YoY) in July 2026, according to data released by the General Authority for Statistics (GASTAT).
The index hit 104 points (base year 2023), up from 101.7 points in July 2025, said the authority.
The increase was mainly driven by a rise in construction costs for the residential sector (2.2%) and the non-residential sector (2.6%).
The index measures changes in construction costs over time based on a basket of building materials and construction services, and is widely used by planners and researchers.
|
Construction Cost Index |
||
|
Period |
Index (Points) |
YoY Change |
|
January 2025 |
101.0 |
1.0% |
|
February |
101.1 |
0.9% |
|
March |
101.2 |
1.0% |
|
April |
101.2 |
1.0% |
|
May |
101.3 |
1.2% |
|
June |
101.2 |
1.1% |
|
July |
101.7 |
0.7% |
|
August |
101.8 |
0.7% |
|
September |
101.8 |
0.7% |
|
October |
101.7 |
1.0% |
|
November |
101.8 |
1.0% |
|
December |
101.9 |
1.2% |
|
January 2026 |
102.4 |
1.4% |
|
February |
102.5 |
1.4% |
|
March |
103.2 |
2.0% |
|
April |
103.7 |
2.4% |
|
May |
103.9 |
2.6% |
|
June |
104.0 |
2.7% |
|
July |
104.0 |
2.3% |
CCI’s annual hike was mainly driven by higher equipment and machinery rental costs (+4.5%), energy costs (+3%), and labor costs (+1.5%).
Meanwhile, basic materials (largest weight in the index at 48.5%) recorded an increase of 1.8% YoY.
|
Construction Cost Index by Components |
||||
|
Main Categories |
Weight |
July 2025 |
July 2026 |
Change |
|
Basic Materials |
48.5% |
98.8 |
100.6 |
1.8% |
|
Labor |
29.9% |
103.5 |
105.0 |
1.5% |
|
Equipment & Machinery Rental |
19.0% |
103.0 |
107.6 |
4.5% |
|
Energy |
2.5% |
131.0 |
134.9 |
3.0% |
|
Index |
100.0% |
101.7 |
104.0 |
2.3% |
Data by sector showed a YoY increase in both residential and non-residential construction costs in July 2026. The residential sector (77.5% weight) rose 2.2% YoY, mainly driven by equipment and machinery rental costs (+4.2%), along with higher energy costs (+3%), labor costs (+1.4%) and basic materials (+1.8%).
The non-residential sector moved up 2.6% YoY, mainly driven by the rise in equipment & machinery rental costs (+5.8%), as well as the increase in energy costs (3%), labor costs (+1.8%) and basic materials (1.9%).
|
Construction Cost Index by Sector |
||||
|
Main Categories |
Weight |
July 2025 |
July 2026 |
Change |
|
Residential Sector |
77.5% |
101.7 |
104.0 |
2.2% |
|
Basic Materials |
37.5% |
98.9 |
100.7 |
1.8% |
|
Labor Costs |
23.0% |
103.5 |
105.0 |
1.4% |
|
Equipment & Machinery Rental |
14.9% |
102.9 |
107.2 |
4.2% |
|
Energy |
2.0% |
131.0 |
134.9 |
3.0% |
|
Non-Residential Sector |
22.5% |
101.5 |
104.1 |
2.6% |
|
Basic Materials |
11.0% |
98.5 |
100.3 |
1.8% |
|
Labor Costs |
6.9% |
103.4 |
105.3 |
1.8% |
|
Equipment & Machinery Rental |
4.1% |
103.0 |
109.1 |
5.8% |
|
Energy |
0.6% |
131.0 |
134.9 |
3.0% |
|
Index |
100.0% |
101.7 |
104.0 |
2.3% |
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