Cost of Living in Saudi Arabia

The cost of living in Saudi Arabia is generally comparable to other destinations in the Middle East, although it varies significantly between cities. While some areas are more affordable, major urban centres like Jeddah and the capital, Riyadh, tend to be pricier, particularly when it comes to housing and schooling. That said, both cities remain more affordable than some other major expat destinations in the region.

Fortunately, many expats move to the Kingdom on lucrative relocation packages that include allowances for housing, transport, medical insurance, and children’s education. Expats whose employers cover these expenses usually find the cost of living in Saudi Arabia manageable, allowing for a comfortable lifestyle.

Moving to Jeddah 
Moving to Riyadh

Cost of accommodation in Saudi Arabia

Expat housing in Saudi Arabia is expensive. Demand for property in expat compounds has resulted in high prices. The most popular compounds can have long waiting lists. Living outside the compounds often proves cheaper.

Villas and apartments in Saudi Arabia vary in cost depending on size, location, and amenities. If you are working in the Kingdom, you may be able to negotiate a housing allowance as part of your employment contract, which would be a major saving.

Accommodation in Saudi Arabia

Cost of transport in Saudi Arabia

Saudi Arabia doesn’t have a comprehensive public transport system. This means many expats choose rather to buy or rent a private car. Given its position in the oil sector, petrol is cheap in Saudi Arabia.

You can also typically afford to buy a more luxurious car in Saudi Arabia than you would back home. Car insurance is compulsory and is an extra expense you should consider.

Transport and Driving in Saudi Arabia 
Buying a Car in Saudi Arabia

Cost of groceries and goods in Saudi Arabia

Electronic goods, groceries, and tobacco products are reasonably priced, but imported food and eating out can be costly. When considering a move to Saudi Arabia or planning your budget as an expat, it’s essential to know that local grocery items are generally more affordable than in many Western countries.

This price difference can be quite substantial, especially for basic staples such as bread, milk, and fresh produce. This affordability extends to local dairy products, meats, and various fruits and vegetables, lowering daily living costs for those essentials.

Despite the lower costs of basic groceries, imported goods and certain luxury items carry a higher price tag. This is partly due to import taxes and the logistics of bringing products from overseas. Therefore, while you can enjoy savings on local items, you should be prepared to budget more for international brands and speciality products.

Cost of entertainment and eating out in Saudi Arabia

Entertainment options in Saudi Arabia are relatively limited, as there are no bars or nightclubs for Western expats. Instead, money is spent in compounds or on luxury items in the country’s many malls.

Dining out in Saudi Arabia offers a diverse experience comparable to smaller European towns or Southeast Asian cities. Whether it’s a casual meal at a local eatery or a more extravagant dinner in expat-heavy areas, the range of options ensures there’s something to suit all palates. While daily dining is reasonably priced, high-end restaurants offer gourmet experiences at a fraction of what one might pay in larger Western cities.

While different from many Western countries, the leisure and entertainment scene includes cinemas, music events, and increasingly popular sports and cultural activities. Attending a movie, enjoying a concert, or participating in a sports event can be more costly than in many parts of the world, but prices are similar to those in upscale Asian facilities.

Lifestyle in Riyadh 
Lifestyle in Jeddah

Cost of education in Saudi Arabia

Schooling is another key expense for expat families, most of whom will opt for private or international schools rather than local public schools. Public schools in Saudi Arabia teach in Arabic, making them largely unsuitable for expat children who are unable to speak the language.

Tuition costs at these schools can be expensive and will often exclude the cost of books, uniforms, or excursion fees. Expat parents are advised to plan a budget for prospective schooling expenses.

Education and Schools in Saudi Arabia

Cost of healthcare in Saudi Arabia

Saudi Arabia’s healthcare system is transitioning towards a more privatised model, which can influence costs for non-nationals and those not covered by government healthcare.

For expats, the mandatory health insurance programme ensures access to a range of services at private healthcare facilities. Premiums vary based on the level of coverage chosen, with more comprehensive plans offering broader services and higher costs. While basic health insurance is compulsory, many opt for additional coverage to include dental and optical care services.

The cost of healthcare without insurance can be high, especially for specialised treatments and private hospital care. Medications, particularly imported ones, can also be costly. That said, the government’s efforts to increase private sector participation aim to improve efficiency and service quality, potentially leading to more competitive pricing in the future.

It’s recommended that expats thoroughly research and select a health insurance plan that balances cost with coverage needs, ensuring access to preferred hospitals and clinics.

Healthcare and Health Insurance in Saudi Arabia

Cost of living in Saudi Arabia chart

Note that prices may vary depending on the location and service provider. The table below is based on average prices in Riyadh in February 2025.