Saudi Arabia has put the ambitious Mukaab project—dubbed “The Cube”—on hold, pausing construction as authorities review its financing and long-term feasibility.
The move reflects a broader recalibration of Vision 2030 megaprojects amid rising fiscal pressures.
Saudi Arabia has suspended planned construction of the massive cube-shaped skyscraper known as the Mukaab, located at the heart of Riyadh’s New Murabba downtown development.
Four people familiar with the matter told Reuters that the decision was taken as part of a reassessment of funding and project feasibility.
The Mukaab was one of the most eye-catching “gigaprojects” under Crown Prince Mohammed bin Salman’s Vision 2030 economic transformation plan.
Vision 2030 projects face reprioritisation
The pause comes as the kingdom’s $925 billion sovereign wealth fund, the Public Investment Fund (PIF), scales back some futuristic projects to manage costs.
Saudi Arabia is increasingly shifting focus from capital-intensive megastructures to initiatives viewed as more urgent and financially viable.
According to sources, PIF is now prioritising projects linked to the 2030 World Expo, the 2034 FIFA World Cup, the $60 billion Diriyah development, and the Qiddiya tourism megaproject.
What was Mukaab project?
The Mukaab was planned as a 400-metre by 400-metre metal cube, large enough to fit 20 Empire State Buildings inside.
It was designed to include a vast internal dome featuring an AI-powered display—the largest of its kind—viewable from a 300-metre-tall terraced structure inside the cube.
The project promised around two million square metres of interior floor space, making it the world’s largest single-built structure.
Construction halted beyond initial works
Sources said work on the Mukaab has been suspended beyond soil excavation and foundation pilings.
However, development of the surrounding New Murabba real estate project is expected to continue.
Officials from the PIF, the Saudi government, and New Murabba did not respond to requests for comment.
The reassessment reflects mounting financial strain as oil prices remain below levels required to comfortably fund Vision 2030 ambitions.
In October, Reuters reported that PIF had recorded an $8 billion writedown on gigaproject investments at the end of 2024.
As a result, the fund has been shifting strategy toward sectors such as logistics, mining, and artificial intelligence, which offer stronger near-term returns.
Saudi Economy Minister Faisal al-Ibrahim told Reuters last week that the government would not hesitate to delay or rescope projects if needed.
“We’re very transparent. We’re not going to shy away from saying we had to shift this project, delay it, re-scope it,” he said, without naming specific developments.
Over the weekend, Saudi Arabia also announced the indefinite postponement of the 2029 Asian Winter Games planned at Trojena, another delayed NEOM project.
New Murabba timeline extended
Real estate consultancy Knight Frank estimates the wider New Murabba district will cost around $50 billion—roughly equivalent to Jordan’s GDP.
Projects commissioned so far are valued at about $100 million.
Originally slated for completion by 2030, the New Murabba development is now expected to be completed by 2040.
When unveiled, the Mukaab’s design sparked criticism on social media due to its resemblance to the Kaaba, Islam’s holiest structure in Mecca.
Despite the backlash, officials had previously promoted the project as a symbol of Riyadh’s future as a global destination.
