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(MoneyNewsWire.Net, November 17, 2016 ) Large-scale investments in infrastructure development, supported in part by the nation’s hosting of the 2020 World Expo, will be a key driver of growth. Moreover, the country’s strong economic growth, strategic location and large consumer base will continue to attract investors.
The industry’s output value in real terms is expected to rise at a compound annual growth rate (CAGR) of 6.52% over the forecast period, up from 3.55% during the review period (2010–2014).
There are certain risks associated with the positive outlook for the construction industry over the forecast period. Falling oil prices are expected to affect the long-term growth prospects of the UAE’s construction industry, as the country generates 31% of the total export earnings from the oil and gas sector.
Report URL: http://www.reportsweb.com/Construction-in-the-UAE-Key-Trends-and-Opportunities-to-2019?
SCOPE
This report provides a comprehensive analysis of the construction industry in the UAE. It provides:
- Historical (2010-2014) and forecast (2015-2019) valuations of the construction industry in the UAE using construction output and value-add methods
- Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by project type
- Breakdown of values within each project type, by type of activity (new construction, repair and maintenance, refurbishment and demolition) and by type of cost (materials, equipment and services)
- Analysis of key construction industry issues, including regulation, cost management, funding and pricing
- Detailed profiles of the leading construction companies in the UAE
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KEY HIGHLIGHTS
- The UAE’s infrastructure construction market will be supported by large-scale investment in the construction industry, due to Dubai hosting the World Expo 2020, which will require transport infrastructure, hotels, retail and residential buildings, and other related facilities. In order to host the event successfully, the UAE government will prioritize infrastructure development as a key investment area, to enable the country to handle the expected visitor volumes. Consequently, the government is investing in modernizing public transport systems and airport construction. To prepare for the event, AED157.9 billion (US$43.0 billion) is required to be spent on roads, highways, rail, airport and other related infrastructure, according to the Deutsche Bank.
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- With robust and modern transport infrastructure vital to economic growth and competitiveness, the UAE government is focusing on transport development. In 2014, the UAE’s National Transport Authority (NTA) announced plans to spend AED91.8 billion (US$25.0 billion) on rail infrastructure by 2020.
- Government focus on the country’s development as a tourist destination ahead of the World Expo 2020 is expected to drive growth in the UAE construction industry over the forecast period. The event is expected to attract 25 million visitors, creating opportunities for businesses.
- Under the Dubai Health Strategy 2013–2025, the government is planning to construct three major hospitals – the Al Maktoum Hospital, Al Khawaneej Hospital and Mohammed bin Rashid Hospital – and 40 new healthcare centers by 2025. The government is also expected to construct three new medical colleges and five nursing schools by 2025.
- The UAE construction industry’s growth will be driven by the government’s plan to increase the share of renewable energy in terms of total energy consumption, encouraging investment in renewable energy infrastructure. The government aims to generate 7% of the country’s total electricity needs through renewable sources by 2020.
REASONS TO BUY
- Identify and evaluate market opportunities using Timetric's standardized valuation and forecasting methodologies
- Assess market growth potential at a micro-level with over 600 time-series data forecasts
- Understand the latest industry and market trends
- Formulate and validate business strategies using Timetric's critical and actionable insight
- Assess business risks, including cost, regulatory and competitive pressures
- Evaluate competitive risk and success factors
Construction in the UAE – Key Trends and Opportunities to 2019 report provides detailed market analysis, information and insights into the UAE’s construction industry including:
- UAE’s construction industry's growth prospects by market, project type and type of construction activity
- Analysis of equipment, material and service costs across each project type within UAE
- Critical insight into the impact of industry trends and issues, and the risks and opportunities they present to participants in the UAE’s construction industry
- Analyzing the profiles of the leading operators in the UAE’s construction industry.
- Data highlights of the largest construction projects in UAE
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