Market Research Report
Construction in Dominican Republic - Key Trends and Opportunities (H1 2021)
|Published by||GlobalData||Product code||1003024|
|Published||Content info||15 Pages
Delivery time: 1-2 business days
|Construction in Dominican Republic - Key Trends and Opportunities (H1 2021)|
|Published: April 23, 2021||Content info: 15 Pages||
The Coronavirus (COVID-19) pandemic created significant disruptions to the Dominican Republic's economy, with containment measures bringing many key sectors to a standstill and causing a sharp decline in construction output last year. According to the Central Bank of the Dominican Republic, the construction industry's output value contracted by 10.7% in 2020, following growth of 10.4% in 2019.
In 2021, GlobalData expects the industry to partially recover by 7% in real terms, and then expand at an annual average rate of 5.1% between 2022 and 2025. Growth is set to be supported by the government's efforts to raise investment on transport infrastructure, residential and energy construction projects. In the 2021 budget, the government plans to allocate US$299.3 million to improve the country's transport system. Furthermore, falling COVID-19 cases and plans to vaccinate most of the country's population by the end of this year offer additional optimism to the short-term outlook, as they could allow a faster reopening of domestic activity and support the recovery of hard-hit sectors such as tourism.
To support the local economy, strengthen key industries and create jobs, in 2020, a memorandum of understanding (MOU) was signed between the US International Development Finance Corporation (DFC) and the Dominican Republic to mobilize investments in tourism, energy, transport and other infrastructure projects. Under the agreement, both countries will work to recognize priority projects and finance them to move forward and boost sustainability and innovation by strengthening local regulatory frameworks.
In November 2020, the Central American Bank for Economic Integration (CABEI) announced that it has approved DOP39.5 billion (US$783.8 million) to support social development in Dominican Republic. Through this, CABEI provided DOP13.3 billion (US$249.6 million) financing for the construction of the Montegrande Phase III Multipurpose Dam.
This report provides detailed market analysis, information and insights Dominican Republic's construction industry, including -
This report provides a comprehensive analysis of the construction industry in Dominican Republic. It provides -