Cost-Benefit Analysis of the Saudi Land Bridge Project

Abstract

Projects are the backbone of economic thrive of nations, especially infrastructure projects. It’s counted as the base layer of allowing economic trade between beneficiaries. Railway projects have always been a huge element in increasing trade operations between Saudi Arabia and the rest of the world, by providing an efficient and environmentally friendly way that is capable of hauling large loads of exports all the way to the seaports and from there to the rest of the world. The Saudi land bridge project will cost about $11 billion and will provide a new link between the existent railway in the eastern region to the west of the kingdom all the way to Jeddah Islamic seaport right on the red sea. The goal of this research is to perform a cost-benefit analysis of the new Saudi land bridge project, by studying all the data available to determine if the government of Saudi Arabia should proceed with this project or not. The cost-benefit analysis will compare the project\u27s expenses with the advantages that will be realized once it is completed. It indicates that the project should be carried out since the project\u27s benefits will outweigh the expenses associated with its completion

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