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Saudi Arabia has suspended construction of futuristic city

Saudi Arabia has suspended large-scale work on the construction of The Line—a key component of the futuristic city of NEOM—until at least 2030.

The Line was conceived as one of the most ambitious urban development projects in the world: a linear city 170 km long and up to 500 m high, free of cars and traditional streets, designed to accommodate millions of residents. The project was intended to become a symbol of the Saudi Vision 2030 program and Saudi Arabia’s economic transition from oil dependence to technology, tourism, logistics, and innovative infrastructure.

According to Semafor, NEOM has postponed further major work on The Line until after 2030. Investments in a number of other project areas have also been postponed or frozen, including some tourist facilities on the Red Sea coast and the Trojena mountain resort, which was previously planned as a venue for the 2029 Winter Asian Games.

The reasons for the revision include rising costs, the need to reallocate resources, and a more pragmatic approach to implementing Saudi Vision 2030 projects. Instead of the most complex and expensive futuristic facilities, the priority may shift toward ports, logistics, industrial infrastructure, data centers, and facilities that yield economic benefits more quickly.

The Line and the entire NEOM project have been controversial from the start due to their scale, cost, technical complexity, and environmental risks. It was initially stated that the city would be able to accommodate up to 9 million residents, but the plans were later revised several times. In 2024, The Guardian reported that by 2030, only a small section is actually planned to be built instead of the originally announced 170 km.

The suspension of The Line is part of a broader review of Saudi megaprojects. Reuters previously reported on the suspension of work on Mukaab—a giant cubic skyscraper in Riyadh costing about $50 billion, which is also part of the Vision 2030 portfolio.

For the real estate and construction market, the decision regarding The Line is an important signal: even the largest state-backed projects in the Gulf countries are facing funding constraints, a shortage of investors, rising construction costs, and the need to demonstrate economic viability.

At the same time, Saudi Arabia is not abandoning NEOM entirely. The project will likely develop in a more realistic format, with a focus on individual functional zones, industry, logistics, maritime infrastructure, digital services, and energy projects.

NEOM is a megaproject in northwestern Saudi Arabia, announced in 2017.

It includes The Line, the Oxagon industrial cluster, the Trojena mountain resort, the Sindalah island tourism project, and other zones. The project is funded with the participation of Saudi Arabia’s sovereign wealth fund, the Public Investment Fund, and is part of the Saudi Vision 2030 strategy.

 

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