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  2. Saudi Arabia seeks private sector role in expanding railway network

Saudi Arabia seeks private sector role in expanding railway network

GHADA.ISMAIL
Oct 20, 2025
Transport Minister says projects will be structured to attract private capital and boost local manufacturing

Riyadh – Sharikat Mubasher: Saudi Arabia is intensifying efforts to attract local and international private sector investment in its ambitious railway projects, according to Saleh Al-Jasser, Transport and Logistics Services Minister.

Speaking to Asharq Business on the sidelines of the second edition of the Saudi International Rail Exhibition and Conference 2025 in Riyadh, Al-Jasser said projects are being restructured and segmented to make them more appealing to investors.

The government is channeling major funding into two flagship projects: the Land Bridge, connecting the Kingdom’s eastern and western regions, and the GCC Railway, linking Gulf Cooperation Council countries. Together, these initiatives aim to expand Saudi Arabia’s railway network by an additional 8,000 kilometers.

Al-Jasser emphasized that the ministry is working closely with both local and foreign partners to finance and deliver these projects, which are key components of the National Transport and Logistics Strategy launched by Crown Prince Mohammed bin Salman in 2021.

As part of its localization drive, the ministry is collaborating with relevant government entities to raise the local content in the railway sector from 52% to 60% by the end of the decade. Efforts are also underway to boost local manufacturing of essential components such as wheels, brakes, rails, and carriages, and to increase employment for Saudi nationals in the sector.

These initiatives align with the Kingdom’s broader goal to become a leading global logistics hub, connecting Asia, Africa, and Europe, while fostering greater private sector participation in infrastructure development.

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Transportation Minister
localization
private sector
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