Ahmed Pauwels, CEO of Hardware + Tools Middle East’s organiser Messe Frankfurt Middle East, said: “Ongoing investments in infrastructure and commercial projects as well as upcoming mega international events planned for the GCC continue to drive regional c
DOHA: Rising oil prices and increased government spending is fuelling demand in the GCC’s construction sector, with contractor awards across the region’s building, infrastructure and energy markets expected to be worth $148.7bn in 2018.
According to a white paper published by research specialists Ventures Onsite yesterday, buildings will hold the lion’s share of what’s expected to be a huge pipeline of projects in 2018.
In 2018, it’s estimated that $79.1bn worth of construction contractor awards will be attributed to buildings in the Gulf Cooperation Council (GCC), followed by energy projects ($44.9bn), and infrastructure ($24.6bn).
The total value of expected construction contractor awards in 2018 is slightly up on the 2017 figure ($147.8bn), according to Ventures, as economic activity picks up across the region amid a revival in non-oil sector growth and broad fiscal reforms.
The March 2018 report, titled: ‘Snapshot of the GCC Construction Industry’, was released ahead of the Hardware + Tools Middle East 2018 trade fair.
Ahmed Pauwels, CEO of Hardware + Tools Middle East’s organiser Messe Frankfurt Middle East, said: “Ongoing investments in infrastructure and commercial projects as well as upcoming mega international events planned for the GCC continue to drive regional construction activity.
“The construction sector is among the chief bellwethers of economic development and progress in the region and the current positive mood is reflected among global hardware, tools and machinery brands looking to gain further traction in one of the world’s most exciting markets today.”
The breakdown of the GCC construction market comprises buildings (residential, commercial, mixed use, airports, sports facilities, hotels, healthcare, educational facilities and industrial projects), infrastructure (roads, bridges, railways, ports, wastewater and sewerage), and energy (oil & gas and power & water).
According to Ventures, the buildings segment will register the most growth year-on-year. The expected $79.1bn of building construction contractor awards across the GCC in 2018 is 10 percent up on the previous year ($71.9bn).
