Saudi Arabia is to transfer ownership of Riyadh’s floundering King Abdullah Financial District (KAFD) to the Public Investment Fund (PIF) from the Public Pension Agency (PPA), according to four sources aware of the matter.

The total value of construction contracts awarded in Saudi Arabia hit SR27.9 billion ($7.4 billion) during the first quarter, down 51 per cent over SR57.3 billion ($15.2 billion) for the same period last year, said a report by NCB, the country’s leading bank.

Construction firm Saudi Binladin Group (SBG) has secured a SR2.5-billion ($667 million) loan from local banks to ease its financial pressures, banking sources aware of the matter said.

Majid Al Futtaim plans to start construction work next year on two new landmark malls in Riyadh, namely the Mall of Saudi and City Centre Ishbiliyah. “The construction package award and main contractor details haven’t yet been confirmed,” said Robert Welanetz, CEO at Majid Al Futtaim Properties.

State-controlled Saudi Electricity Company (SEC) has started up part of its new 2,640 MW Jeddah South power plant and linked it to the grid. The SR11.9-billion ($3.12 billion) project will help meet growing electricity demand from the western region particularly for infrastructure projects in Makkah and Madinah.

Famco to offer key trucking solutions UAE-based Al-Futtaim Auto & Machinery Company (Famco) has joined forces with leading truck manufacturer Iveco to boost its product portfolio in Saudi Arabia.