The Urban Observatory is a specialized center that collects, analyzes and uses urban indicators in preparing, following up and evaluating urban development policies at all levels. It also monitors urban conditions and forms decision-making in urban development affairs with information. The development of the idea of ????establishing urban observatories: The basic idea of establishing an urban observatory began when the UN General Assembly in 1988 developed a shelter strategy that transformed the role of governments in housing, from simply providing housing directly through the establishment of government housing projects. At the same level, the World Bank and the United Nations Centre for Human Settlements (Habitat UN_HABITAT established the Housing Sector Indicators Programme in 1990, as a serious and important step in implementing the general shelter strategy until 2000). The second conference of the United Nations Center for Human Settlements (Habitat) sought to develop the concept of “indicators of the housing sector” into a more comprehensive concept, which is “urban indicators” to expand the set of indicators to include indicators of the housing sector, transport sector, infrastructure sector and economic and social development sector. 46 Indicators prepared by the Member States of the United Nations as part of their periodic reports submitted to the Habitat II Conference in Istanbul 1996 AD, and with the continuation of the efforts of the participating countries and experts of the Center for Human Settlements, the number of urban indicators increased to 51 indicators by 1999 AD, and at the same time a short list of 23 indicators was prepared. It is measured quantitatively, and it also includes 9 qualitative indicators, to be presented at the Istanbul Conference that was held in 2001 AD. In addition to the basic (abbreviated) group, a comprehensive list of urban indicators was prepared that contained 124 indicators. At the level of the Arab region, all Arab conferences related to following up and monitoring progress in implementing the Habitat II agenda called for the importance of establishing an urban observatory for the Arab region. Among the series of these meetings is the International Conference on Urban Development Strategies, which was held in Manama, Bahrain, during October 2000, as well as a training course Held by the Arab Urban Development Institute in cooperation with the General Authority for Housing and Urban Development in Jordan (Amman - October / November - 2000 AD) on the topic (Urban Indicators in Cities and Arab Countries), in which the United Nations Center for Human Settlements (Habitat) and the United Nations Economic Commission participated The Social and Western Asia Organization (ESCWA) and the Arab Towns Organization. The first recommendation of the final statement stipulated the need to urge countries to establish national and local urban observatories. Establishment of the urban observatory of Medina: Based on the foregoing, the Kingdom of Saudi Arabia has adopted the recommendations of the United Nations for Human Settlements in responding to the call for the establishment of urban observatories, where the Municipality of Medina took the initiative to establish the first local urban observatory in the Kingdom in 1424 AH, which is the urban observatory of Medina / and according to the circular of His Royal Highness Prince / Nayef bin Abdulaziz No. 301/38671/5/1 dated 22/2/1428 AH, directed to the lords of the regions that the Ministry of Municipal and Rural Affairs will establish urban observatories in all thirteen regions of the Kingdom, in addition to a national urban observatory based in Riyadh that connects all these observatories and on All Emirates in the Kingdom cooperate with it. And based on Cabinet Resolution No. 475 dated 09/07/1439 AH, approving the regulation of the work of the regions and cities development authorities, which includes the creation and management of a database and urban information systems, so that it is a unified platform and a basic reference for information on which the agencies related to the development of the region are based. Developing and applying indicators to improve and measure the efficiency of urban performance. The Urban Observatory Department was established at the Medina Development Authority.