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The Kingdom of Saudi Arabia's flag
Knight Frank reported that Saudi Arabia's private education sector needs 214,000 extra student seats by 2035, with Riyadh alone requiring over 63,500 seats and Jeddah 42,600.
The report stated that if Riyadh's population reaches 15 million by 2030, as planned, the demand could exceed 254,000 seats, nearly five times the capital's current need.
The education sector, from kindergarten to grade 12, faces increasing demand due to population growth and government talent attraction initiatives. The early childhood sector is also growing, driven by greater female workforce participation and government improvements in early childhood education.
Shehzad Jamal, Partner and Head of Strategy and Consultancy for Middle East and Africa at Knight Frank, reveals that 54% of families in a recent survey prefer private schools, with this preference stronger among younger Saudis.
Among under-25s, 58% prefer private education, while this preference drops to 49% in over-45s. High-income families show a 66% preference for private education, compared to 49% in lower-income families.
In terms of curriculum, 25% prefer a dual (Ministry of Education and American) curriculum, while 18% prefer American and 16% prefer British and local (Ministry of Education) curricula.
Despite these trends, the company highlights challenges for investors and operators, like limited land access, rising land prices, and increasing development costs due to higher construction costs and supplier negotiation power amid a nationwide construction boom.
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