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Dubai / Emirates Business
The combined value of the 22,680 active construction projects in the GCC has exceeded $2.43 trillion (AED8.91 trillion) in November 2017, according to latest GCC Construction Analytics report
issued by BNC Network, the largest and most comprehensive project research and intelligence provider in the Middle East and North Africa (MENA) region.
Of these the urban construction sector has the highest number of projects, touching 17,912, worth $1.21 trillion (AED4.44 trillion),
followed by utilities sector with 1,701, transport sector having 1,423, followed by 1,289 industrial and 355 oil and gas projects.
The combined value of 1,423 transport projects reached as much as $387.6 billion (AED1.42 trillion), followed by oil and gas projects valued at $337 billion, utilities worth $313 billion and industrial project value reaching $178.6 billion.
In October, the number of active projects in the GCC increased by 2 percent as compared to September 2017 and the total estimated value of these projects increased 1 percent. A total of 142 active projects with a combined estimated value of $10.4 billion moved to construction from other stages during the month. A total of 670 active projects with a combined estim-
ated value of $15.2 billion were completed during the month.
The GCC region, with a combined gross domestic product (GDP) of $1.4 trillion (AED5.1 trillion), has undertaken massive
development and construction activities to diversify their economies. “Clearly, the governments of these countries are investing their current oil wealth and resources to build a better future that will serve the generations to come well even when oil runs out or the use of oil reduces to the minimum,†Avin Gidwani, Chief Executive Officer of BNC Network, says. “The re-modelling of Dubai economy and the UAE economy to a certain extent has inspired the rest of the countries to catch up fast.â€
In 2016, the GCC countries pumped an average of 18.3 million oil barrel per day. According
to the GCC Secretariat, the
Gulf countries’ non-oil exports reached $113.1 billion while oil exports fetched $357.8 billion in 2015. “Much of these are being invested in large infrastructure, housing and commercial projects that will have a far-reaching impact on the region’s economies,†Gidwani says. According to the GCC Secretariat, the total budget deficit of $152 billion reflects the simple fact that the governments are spending fast and higher to build the economies.