By Andy Sambidge
New research says construction boom to continue across region with 77% increase in awards than last year
Infrastructure project awards across the GCC are forecast to exceed $86 billion in 2014, an increase of 77.8 percent over 2013, according to new research.
Figures released by construction intelligence firm Ventures Onsite show a dramatic increase in contract awards in every country across the region except Saudi Arabia.
It said Qatar will award projects worth $26.2 billion compared to just $9.4 billion last year while Kuwait is expected to award $3.45 billion, almost 10 times the previous year.
In the UAE, $15.18 billion will be awarded, almost five times the 2013 contracts, while in Oman infrastructure awards are expected to reach $7.4 billion - up $5.5 billion on 2013.
The research said Bahrain, which awarded $382 million last year, is expected to award $3.4 billion.
Saudi Arabia’s forecast award of $29.34 billion - the highest in the region - represents a decrease year on year, however last year’s total awards of $33.6 billion included the $22.5 billion Riyadh Metro project.
Infrastructure projects make up 16 percent of the total construction value of GCC projects, according to Ventures, which estimated the rail sector is worth $200 billion as the six countries aim for an integrated GCC-wide network by 2018.