Gulf’s construction industry is expected to make a strong recovery in 2022 after a 6-year slowdown as a result of the oil price collapse in 2014 and the Coronavirus pandemic.
MEED, a fast-serving retail company in Saudi Arabia, has positive long-term expectations, coinciding with the improvement of the financial situation in the region with the recovery of oil prices and the easing of production limits.
With a pipeline worth $1.9 trillion of future construction and infrastructure projects planned across the GCC, there is no shortage of potential project opportunities.
Gulf’s construction industry
Although some of these planned schemes are still many years away from becoming real projects, there is a large number of backlogs that have been delayed due to the pandemic, but they can be quickly brought to market.
According to MEED’s project tracking database, there are about $107 billion of construction and transportation projects planned in the Gulf at some point in bidding.
The majority of these projects will be concluded within the next 18 months.
There are also about $303 billion of construction and transportation projects in the GCC in the design phase. For many companies, the recovery of the projects market in the UAE will be welcome news.
Nevertheless, the construction sector after the pandemic will be different from the market before 2015. At the time, the sector was driven by government spending on infrastructure and the flow of money to real estate.
Saudi Arabia will provide the largest offer of new construction opportunities in the Gulf states, with more than $1 trillion in construction and transportation projects planned. the country will also provide nearly $58 billion in construction contracts.
the Kingdom is by far the largest construction market in the region.
It is noteworthy that MEED is a quick-service retailer company in Saudi Arabia. It was established in Riyadh in 1981, and it is owned by one of the largest holding companies in the Middle East, Al Mawarid Holding Group.
Today, MEED operates more than 200 stores in various parts of the Kingdom , to meet the needs of its customers wherever they are.