In today’s accelerating global infrastructure landscape, Saudi Arabia stands at the forefront of economic transformation. Vision 2030 continues to reshape the Kingdom’s cities, connectivity systems, energy networks, water utilities, and public facilities with massive investments and bold planning efforts. Amid this surge in activity, one element has consistently made the difference between costly overruns and strategic value creation: the feasibility study consultant. Engaging expert feasibility study consultants at the earliest stages of a project has been shown to improve return on investment by an average of 25 percent, a performance shift that is particularly critical in large-scale Saudi infrastructure initiatives where budgets and expectations are steep.
This article explores how structured feasibility studies support financial discipline, de-risk project execution, optimize designs, and unlock value in Saudi infrastructure from 2025 into 2026 and beyond. It spotlights recent data on infrastructure spending, quantitative market forecasts, project benchmarks, and best practices to maximize return on investment (ROI) in planning and execution.
A New Era for Saudi Infrastructure Investment
Saudi Arabia’s infrastructure sector has seen unprecedented momentum over the past decade, with the total market valued in the hundreds of billions of dollars as Vision 2030 accelerates diversification away from oil dependency. According to industry reports, the Kingdom’s infrastructure market was valued at SAR 1,350 billion as of 2025, fueled by investments in transportation networks, utilities, and urban redevelopment projects.
The construction pipeline is similarly robust with more than USD 1.6 trillion in projects in various stages of planning or execution in 2026, and construction contract awards projected to reach USD 86.1 billion this year, a significant jump from USD 66.4 billion in 2025. These figures illustrate the immense scale and complexity of infrastructure developments where the margin for error can be costly.
Landmark projects include the Riyadh Metro system valued at USD 22.7 billion, the King Salman International Airport at USD 33 billion, and expansive mixed-use developments such as New Murabba exceeding USD 50 billion. With so many multi-billion dollar programs in motion, improving ROI through disciplined planning is no longer optional but a strategic necessity.
The Critical Role of Feasibility Studies
A feasibility study consultant plays a foundational part in defining whether a project makes economic sense before significant capital is committed. These consultants provide objective assessments of technical viability, market conditions, regulatory environments, cost estimates, risk profiles, financial models, and social impact. By identifying potential constraints early, feasibility studies empower stakeholders to make informed decisions, reduce uncertainties, and structure efficient investment plans.
Here’s how feasibility studies tangibly improve ROI in large infrastructure projects:
Ensuring Accurate Demand and Market Forecasting
Without robust feasibility studies, infrastructure projects risk misaligned capacity planning and inflated demand assumptions. A high-quality feasibility study consultant evaluates demographic trends, economic forecasts, user behavior, and demand elasticity to ensure capacity planning is realistic and financial models are sound. For example, transport infrastructure such as Saudi’s expanding rail systems from the Landbridge project to urban metros requires precise ridership forecasts to justify investment returns. By avoiding overbuilding or under-estimating needs, feasibility analysis safeguards against wasted capital.
Refining Cost Estimates and Enhancing Budget Discipline
One of the most common causes of overruns in infrastructure projects is inaccurate cost estimations. Feasibility study consultants use detailed quantity surveys, market price benchmarks, and risk contingency strategies to forecast construction, operation, and maintenance expenditures more precisely. This leads to stronger budgeting, fewer surprises during execution, and clearer financing terms. In Saudi Arabia’s giga-project ecosystem—where contracts for elements such as NEOM, Diriyah, and Oxagon collectively already total tens of billions of dollars—this insight is indispensable.
Quantifying Risks and Strengthening Mitigation
Every infrastructure venture carries inherent risks, technical complexities, regulatory shifts, supply chain disruptions, and environmental constraints. Feasibility studies model these risks using quantitative risk assessments that help investors and planners assign probabilities to cost escalations and schedule delays. By highlighting risk drivers early, stakeholders can incorporate mitigation actions that optimize schedules and resource allocation, boosting ROI certainty.
Aligning Stakeholder Expectations
Feasibility assessments bring clarity to stakeholder expectations by harmonizing objectives across government bodies, private investors, contractors, and end-users. In Saudi infrastructure programs where public-private partnerships are increasingly popular, clear, third-party studies help reduce disputes, streamline negotiations, and establish transparent benchmarks for performance and delivery.
Quantitative ROI Impacts of Feasibility Studies
Independent analyses of infrastructure programs around the world show that projects with early feasibility validation deliver measurable performance advantages. In Saudi Arabia, where the pace of development is unmatched in the region, feasibility studies have been observed to contribute to at least 25 percent higher ROI compared to projects without such rigorous upfront scrutiny, especially in areas such as urban transport, utilities modernization, and large real estate developments.
This higher ROI manifests through several quantifiable outcomes:
Improved Capital Efficiency
Projects with robust feasibility frameworks typically achieve capital cost savings of 15 to 20 percent through better design optimization, competitive bidding anchored to realistic specs, and avoidance of scope creep. Early identification of cost de-escalation opportunities helps protect margins and preserves investor value.
Reduced Execution Delays
Projects that undergo thorough feasibility assessments experience fewer execution delays, which on average can shave off four to six months of schedule overruns. Faster delivery enhances time to revenue and minimizes holding costs, directly contributing to bottom-line returns.
Enhanced Financing Terms
Banks and institutional investors are more willing to offer favorable terms—including lower interest charges and extended tenors—when projects are backed by rigorous feasibility documentation. This reduces financial burden and improves net present value outcomes for sponsors.
Increased Confidence for Foreign Investment
Saudi Arabia’s ongoing reforms to attract foreign direct investment (FDI) have placed greater emphasis on transparent project documentation. A feasibility study consultant adds credibility to investment memorandums and reduces perceived risk for international partners, which correlates with higher foreign capital inflows into infrastructure sectors.
Case Studies and Market Trends
Several recent developments in the Kingdom illustrate how feasibility-informed planning supports growth and ROI:
Urban Transit Networks
Saudi Arabia’s metro and rail expansions are transformative. The Dammam Metro project, estimated at SAR 60 billion (USD 16 billion), targets operation commencement in 2026 with two lines covering 50 kilometers. A feasibility study consultant’s analysis of transit demand, cost benchmarks, and revenue forecasts helps ensure that ridership projections justify debt service and operational costs.
Airport and Aviation Infrastructure
The King Salman International Airport project, valued at USD 33 billion, anticipates handling over 120 million passengers annually by 2030. Proper feasibility evaluations are critical to modeling passenger growth, airline partnerships, cargo throughput, and ancillary revenue streams. Such rigorous planning translates into higher investor confidence and ROI prospects.
Multi-Sector Infrastructure Portfolios
Giga-project portfolios like NEOM, Qiddiya, and Red Sea Global combine tourism, residential, commercial, and entertainment components with vast capital requirements. With tens of billions already awarded in contracts, feasibility studies guide portfolio allocation, return expectations, regulatory compliance, and ecosystem viability.
Best Practices for Infrastructure Feasibility in Saudi Arabia
To realize the full ROI potential of feasibility studies, project sponsors should consider these strategic practices:
Involve consultants early
Feasibility should begin before project design freezes. Early involvement facilitates scenario analysis, cost modeling, and vendor selection strategies.
Use integrated data systems
Leverage AI, BIM (Building Information Modelling), and advanced analytics for data-driven assessments. These tools enhance accuracy and adaptability in dynamic project environments.
Stress test financial models
Evaluate sensitivity to key variables like inflation, interest rates, and commodity costs to understand downside risks and upside levers.
Engage multidisciplinary teams
Combine expertise in engineering, finance, economics, environmental science, and social impact to capture all dimensions of a project’s feasibility.
Regularly update feasibility inputs
Infrastructure markets evolve rapidly. Periodic reassessment of feasibility assumptions throughout planning and procurement phases ensures continued relevance and reduces surprises.
In a landscape as ambitious and complex as Saudi Arabia’s infrastructure ecosystem, guided by multi-trillion dollar pipelines and transformative public policy objectives, the definitive edge goes to projects grounded in rigorous feasibility assessment. A feasibility study consultant is not merely a contractual requirement but a strategic partner that can elevate project outcomes, reduce risk, and deliver up to 25 percent better ROI compared to initiatives that proceed without structured feasibility insights.
As Saudi Arabia navigates its 2025 and 2026 development targets with expanded urban transit systems, global airport hubs, and integrated urban mega-projects the value of feasibility studies will continue to compound. By translating uncertainty into clarity and complexity into actionable insight, feasibility studies help ensure that each capital investment contributes effectively to sustainable growth, investor confidence, and long-term economic success.
Engaging the right feasibility expertise today sets the stage for the Kingdom’s infrastructure achievements tomorrow. A carefully designed feasibility strategy is not a cost center but a multiplier of value that supports Saudi Arabia’s bold vision and delivers measurable returns for stakeholders at every level.
Finance Advisory 