Market Research Report
Construction in United Arab Emirates (UAE) - Key Trends and Opportunities to 2024
|Published by||GlobalData||Product code||969019|
|Published||Content info||47 Pages
Delivery time: 1-2 business days
|Construction in United Arab Emirates (UAE) - Key Trends and Opportunities to 2024|
|Published: October 14, 2020||Content info: 47 Pages||
On the back of an already struggling market and the COVID-19 outbreak, coupled with low oil prices, GlobalData is expecting construction output in the UAE to contract by 4.8% in 2020, but a rebound of 3.1% in 2021. New project opportunities are expected to be minimal in the coming quarters, as the government is consolidating its widening fiscal debt, and COVID-19-related force majeure and the change in law notices are being issued by all parties. However, industry players are pushing ahead to solve issues that became entrenched in the construction sector in order to recover quickly, by speeding up the use of new technologies such as BIM, drones, and virtual reality to eliminate waste from their processes. The recent approval of a new Dubai Building Code is also a positive development; the new code outlines a revised set of construction rules and standards and seeks to reduce construction costs by streamlining building rules. Collaborative working between banks and governments with their clients to ensure that there is enough liquidity, mitigate the default risk, and reduce the likelihood of disputes remain on the top of government's agenda amid construction industry's struggle. The UAE announced in August that it will deliver a three-stage 'flexible package' of measures to strengthen the economy, including steps to support the labor market and support investment.
The pandemic will certainly be a severe impediment to growth, and could lead to investment priorities for sectors over others, but over the medium to longer-term, government investment will remain focused on upgrading physical infrastructure and reforming the financing and regulatory environment. Infrastructure projects are a key part of the UAE's economic expansion, as not only the Emirate but the GCC region still has huge infrastructure needs as it seeks to build efficient transport and logistics networks as well as reliable supplies of clean energy. However, the government's economic and fiscal policies will continue to be partly guided by global oil price movements, as the emirate of Abu Dhabi, which funds a major share of federal spending, is still heavily reliant on oil revenue.
GlobalData's Construction in the UAE - Key Trends and Opportunities to 2024 report provides detailed market analysis, information and insights into the UAE construction industry, including -
This report provides a comprehensive analysis of the construction industry in the UAE. It provides -