Saudi Arabia has started February 2026 with massive announcements across defense, energy, and transportation sectors. The Kingdom signed defense contracts worth SAR 33 billion and officially approved a new high-speed rail line connecting Riyadh to Doha. These agreements focus on local manufacturing and improving logistics in the region for residents and travelers.
What are the new High-Speed Rail projects?
The transport sector saw two major developments aimed at reducing travel time and increasing passenger capacity. The government approved a direct rail link to Qatar and expanded the existing Haramain fleet to serve more pilgrims and commuters.
- Riyadh-Doha Link: A new 785 km electric rail line will connect Riyadh to Doha. Trains will run at speeds over 300 km/h, cutting travel time to about 2 hours. Stadler will supply the first 10 trains.
- Haramain Expansion: Spanish company Talgo will provide 20 new high-speed trains for the Makkah-Jeddah-Madinah route. This deal is worth roughly SAR 5.9 billion (€1.33 billion).
- Passenger Impact: Once operational between 2028 and 2031, these new trains will reduce waiting times to under 10 minutes between Makkah and Jeddah during peak hours.
Details of Defense and Solar Energy Agreements
Apart from transport, significant investments were made in military localization and renewable energy during the World Defense Show and a state visit. These deals involve major international partners to boost local industries.
| Sector | Deal Value | Key Details |
|---|---|---|
| Defense | SAR 33 Billion | 60 contracts signed with companies like Raytheon, Leonardo, and Baykar to localize military manufacturing. |
| Energy | $2 Billion (Phase 1) | Agreement with Turkey for 5GW solar projects. The first phase includes 2GW in Sivas and Karaman. |
The defense deals are part of the goal to localize 50% of military spending by 2030, which has already reached 25%. The solar pact ensures electricity supply for over 2 million households with a long-term 30-year agreement.