Monday, August 24, 2009

UAE projects lead the way in GCC

Dubai: The UAE is leading the GCC countries in terms of construction activity with the country having 45 per cent of the total amount of projects in the region, a recent study shows.
Projects under way in the UAE amount to around $930 billion (Dh3,1 trillion), said the study done by Kuwait National Bank.
Project activity in the GCC region amounts to around $2.1 trillion.
The value of property construction is also four times higher than what had been estimated four years ago and reflects an annual growth rate of almost 50 per cent.
Also, some 81 per cent of the UAE projects are in the construction sector alone which indicates that the country has overtaken all GCC states in terms of total value of projects.
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However, Saudi Arabia has a much larger pipeline of non-construction related projects with a value of $224 billion. There are many strategic industrial projects on the way in Saudi Arabia as the country tries to diversify, such as the Jubail Export Refinery.
Recent reports in the UAE have shown that recovery after the global slowdown is in sight, especially for the real estate and construction sectors.
Memon Investments, for one, has continued construction of its projects, despite the economic climate.
These projects include their Dh1.34 billion project portfolio, such as the Champions Towers series, Gardenia I and II and also Frankfurt Sports Tower I, in addition to a commercial project, the Cambridge Business Centre.
"The strong standing of the UAE in the construction market is an indicator of the capacity of developers of locally-based projects to proceed with the construction of launched projects amidst the challenges presented by the economic slump," said Ahmad Shaikhani, managing director of Memon Investments.
Source: Gulf News

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