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Construction costs in Saudi Arabia rose by 2.3% in July 2026, due to increases in labor, equipment, energy, and building materials prices. The residential sector saw a 2.2% rise, while the non-residential sector increased by 2.6%. Equipment and machinery costs also grew by up to 5.8%, with labor costs varying between 1.4% and 1.8%. This increase reflects the impact of rising prices for timber and essential materials on the overall construction costs in the kingdom.
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