Real estate is the fastest growing sector in Saudi Arabia with more than SR1 trillion in investments. The growth is said to be the second highest in the world after Shanghai, Solaiman Al-Majed, Chairman, Tanmiyat Group, was quoted as saying by Khaleej Times.

But the growing market needs to be regulated and organized in order to avoid scams, he stressed. Al-Majed added that the latest hike in real estate prices was being fuelled by artificially low short-term interest rates and a huge rise in bank loans.

© 2006 Mena Report (www.menareport.com)