Saudi Arabia has quietly introduced one of the most consequential reforms in its education system since the launch of Vision 2030. For the first time, private companies are now permitted to manage public schools, marking a structural shift that could reshape how education is delivered across the Kingdom. The announcement, confirmed this month by Deputy Minister Abdul Rahman Al Hajari, signals that the government is moving beyond pilot programs and into large-scale implementation.
The pace of change is already evident. Sixty public schools have transitioned to private management, and more are expected to follow. This is not a cautious experiment. It is a deliberate effort to address long-standing capacity gaps while improving efficiency and educational outcomes through private sector participation.
The scale of demand explains the urgency. Saudi Arabia is expected to require more than 214,000 additional private school seats by 2035. Riyadh alone will need around 63,000 new seats, while Jeddah is projected to require another 42,000. By 2030, the Kingdom’s total K12 student population is forecast to reach 7.2 million. Meeting this demand will require roughly 200 new schools, each capable of accommodating about 2,000 students. For years, supply has lagged behind need. The new policy framework is designed to correct that imbalance.
Under the revised model, private operators are responsible for the day-to-day management of public schools. This includes operational efficiency, facilities management, student services, and curriculum delivery. However, the Ministry of Education retains authority over teacher recruitment, vetting, training, and professional standards. The division of responsibilities is clear: private companies run operations, while the state safeguards quality and accreditation.
To reinforce standards, the government is investing heavily in teacher and leadership development. New teachers will complete a structured one-year induction programme, while existing staff will undergo upskilling through partnerships with international institutions, including those in Singapore. School leadership training will involve collaboration with University College London. These measures signal that opening operations to private management does not mean relaxing quality control.
A notable feature of the reform is the emergence of new delivery models. The Ministry of Education is collaborating with the National Housing Company to develop integrated education and housing projects, with several initiatives already underway. Rather than building standalone schools, these developments embed schools within residential communities. For international operators, this model reduces entry barriers by providing access to land, infrastructure, and planning approvals through established development partnerships, allowing them to focus on academic delivery rather than real estate complexities.
Financing has also evolved to support this transition. New education-specific funding instruments now offer competitive interest rates and extended grace periods, improving the commercial viability of school projects. Licensing processes have been streamlined, resulting in a noticeable increase in merger and acquisition activity. Currently, 84 education investment opportunities are listed on the Invest Saudi platform, covering international schools, training centers, and specialised institutions.
Quality assurance remains a central pillar of the reform. The Ministry has been explicit about aligning education outcomes with labour market needs. Alongside traditional schools, the government is expanding specialised institutions focused on sports, technology, and culture. The goal is to raise academic performance while meeting the expectations of families in a rapidly modernising economy.
The reform also has broader economic implications. Government data and international evidence suggest that high quality schools can increase surrounding property values by 8 to 15 per cent, with some markets seeing price growth of up to 15 per cent where education standards improve. This linkage between education quality and real estate performance is shaping how integrated projects are structured and incentivised.
For international school operators, the opportunity is now clearly defined. Entry into the Saudi market can take multiple forms, managing existing public schools transitioning to private operations, developing schools within education housing projects, or launching standalone international schools under an accelerated licensing regime. The deciding factor is alignment with long-term capability and commitment.
Saudi authorities are discerning in their partnerships. Operators seeking short-term expansion or light-touch franchising are unlikely to succeed. In contrast, groups demonstrating operational depth, capital strength, and long-term intent are gaining access to financing support and strategic partnerships.
With Vision 2030 accelerating, the question is no longer whether private participation belongs in public education. The framework is in place, the demand is clear, and government support is visible. The next two years will be critical in determining which international education groups establish early leadership in what is rapidly becoming the Middle East’s most undersupplied and strategically important K12 market.