United Arab Emirates Construction Market Latest Development

1
Construction in the UAE Key Trends and
Opportunities to 2021
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• Published February 2017
• Single User PDF US 1950

2
Construction in the UAE Key Trends and
Opportunities to 2021

• Synopsis
• In real terms, the UAE construction industry
  posted positive growth during the review period
  (2012?2016). Construction activity experienced a
  slight slowdown during 2015, owing to the impact
  of low oil prices. In addition, economic slowdown
  in China weighed on the UAE?s economic
  performance.
• Despite modest economic growth, the country?s
  construction industry registered positive growth
  during the review period, driven by the
  government?s investments in transport,
  residential and commercial infrastructure
  projects.
• The industry is expected to expand over the
  forecast period (2017?2021), driven by positive
  developments in regional economic conditions and
  subsequent improvements in investor confidence.
  Moreover, the governments various large-scale
  investments in transport and commercial
  infrastructure projects on the back of the
  upcoming ?World Expo 2020? will be a major driver
  for the industry?s growth over the forecast
  period.
• The industry?s output value in real terms
  increased at a compound annual growth rate (CAGR)
  of 4.38 during the review period, and is
  expected to post a CAGR of 4.68 over the
  forecast period
• The government?s plans to diversify from an
  oil-dependent economy, while focusing on growth
  in non-oil sectors, are expected to drive
  investment in the construction industry over the
  forecast period.
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3
Construction in the UAE Key Trends and
Opportunities to 2021

• Summary
• Construction in the UAE, Key Trends and
  Opportunities to 2021' report provides detailed
  market analysis, information and insights into
  the UAE construction industry, including
• ? The UAE construction industry's growth
  prospects by market, project type and
  construction activity
• ? Analysis of equipment, material and service
  costs for each project type in the UAE
• ? Critical insight into the impact of industry
  trends and issues, and the risks and
  opportunities they present to participants in the
  UAE construction industry
• ? Profiles of the leading operators in the UAE
  construction industry
• ? Data highlights of the largest construction
  projects in the UAE
• Scope
• This report provides a comprehensive analysis of
  the construction industry in the UAE. It
  provides
• ? Historical (2012-2016) and forecast (2017-2021)
  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
• 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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4
Construction in the UAE Key Trends and
Opportunities to 2021

• Key Highlights
• In a bid to represent Dubai as a global hub for
  renewable energy, in November 2015 the government
  launched the Dubai Clean Energy Strategy 2050.
  Under this strategy, the government announced its
  plans to invest AED100.0 billion (US27.2
  billion) in a green fund so as to encourage
  investments in renewable energy projects.
• ?On account of hosting the ?World Expo? in 2020,
  the Dubai government is making significant
  investments to develop Expo-related
  infrastructure. Accordingly, in 2015, the
  government announced its plans to invest over
  AED32.0 billion (US8.7 billion) to construct the
  Expo site on a 4.3 million m2 area, as well as
  other related infrastructural facilities in the
  Dubai South district.
• ?In September 2016, Dubai Holding launched the
  Jumeirah Central project, which involves the
  development of a new city district across 4.4
  million m2 of gross floor area in Dubai. With a
  total investment of AED73.0 billion (US19.9
  billion) the project includes the construction of
  over 278 buildings, consisting of 11,000 housing
  units, retail units spread across an 845,417.6 m2
  area, office facilities across a 743,224.3 m2
  area and 7,200 hotel rooms.
• ?Chemaweyaat, the National Chemicals Company of
  Abu Dhabi, is developing a large-scale project
  called the Tacaamol-Al Gharbia Chemical
  Industrial City in Taweelah, Al Gharbia. This
  project involves a total investment of AED73.5
  billion (US20.0 billion), and is expected to be
  implemented in three phases.
• ?According to the World Economic Forum?s Global
  Competitiveness Report 2016?2017, the UAE ranks
  fourth out of 138 countries, in terms of the
  quality of overall infrastructure. Moreover, the
  country retained its leading position secured in
  the previous year, in terms of the quality of
  road, air and port transport infrastructure.
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