The Saudi consulting market is still growing despite a wave of delays and cancellations to government-backed projects amid low oil prices. The industry’s revenues will expand by 13% this year, slower than the 25% rise in 2023 but still higher than the international average, ABGI reported, citing Source Global Research, which tracks the consultancy market.
Advisers and consultancies in the kingdom have been saying for months that the market has shifted. The days of huge budgets for ill-defined projects with few tangible outcomes are over. Instead, consultants are dealing with lower rates, fee caps, and payments tied to performance.
Until recently, Vision 2030, the kingdom’s economic diversification plan, had been a massive windfall for the likes of Boston Consulting Group, McKinsey, and the so-called Big Four. It also came with pitfalls, though: PwC was barred from working with the Public Investment Fund for 12 months after being accused of trying to poach a senior executive from a PIF-backed company. The ban ended a few weeks ago.