Saudi inks deal to start $1bn medical city

Saudi Arabia has signed an agreement to kick-start construction of a SR4bn ($1.06bn) medical city project in the kingdom.

Saudi Arabian Health Minister Dr Abdullah Al-Rabeeah inked the contract for the first stage of King Faisal Medical City which will serve the southern province.

Dr Al-Rabeeah said the signing of the deal was part of the King Abdullah's vision to provide the highest level of healthcare to all Saudi citizens.

The contract for the construction of the first stage of the King Faisal Medical City with a capacity of 500 beds was assigned to Al Fouzan Trading and General Construction Company. The contract period is for three years.

"We were honoured to sign these critical contracts today as they are a clear demonstration of the directives from the Custodian of the Two Holy Mosques to further improve our national healthcare system," the minister said in a statement.

According to the minister, the new medical cities and specialised hospitals will enjoy full financial and administrative independence.

The King Faisal Medical City will be built on an area of 262,836 sq m. It comprises a specialised hospital, eye hospital, and cardiac and neuroscience hospitals.

The clinical capacity of the KFMC totals 1,350 beds. It will also have 200 housing units and 200 independent apartments for the staff.