A new report conducted by Ventures ME and issued by dmg events has revealed that construction projects across all building sectors worth $128.46bn are expected to be completed by the end of 2014. The increase in construction will be hitting a 92.06% increase from 2013, which will dramatically affect the region’s interiors and fit out industries.
The recent report analyses the building construction as well as the fit out and interiors markets with a main focus on residential, commercial, hospitality, retail, educational and medical in the entire GCC.
The report claimed: “Out of a total market worth $128.46bn, the medical, residential and hospitality sectors will count for over half of the market with shares of 24.43%, 23.34% and 22.64% respectively. The three sectors leading the way will be followed by the commercial (12.51%), educational (5.86%) and retail (1.09%) sectors.”
In the GCC, the hospitality and medical sectors will grow the most, with the value of completed hospitality building projects predicted to leap from $3.68bn to $29.08bn. In the medical sector, the value of completed buildings are also expected to increase from $3.80bn in 2013 to $31.38bn by the end of the year.
Of the GCC countries, the Kingdom of Saudi Arabia is where most of the completed buildings will be, especially for the hospitality, home and commercial and educational projects.
The report further noted: “The United Arab Emirates will be at the high end of the rank when looking at the healthcare sector; out of a total market forecasted to value $31.38bn, the UAE will account for $3.13bn—a remarkable difference when compared to the value of completed projects in 2013, $227m.”
The report also claimed that out of an overall estimated market value of $9.57bn, the residential, hospitality and commercial sectors will be the largest spenders with $3.30bn, $1.94bn and $1.77bn respectively.
The report concluded: “When compared to 2013 figures, the sectors that are expected to register the highest increase will be hospitality, up 133.88 per cent to $1.94bn, and the medical sector that will almost double in value from $304m to $607m.
KSA will rank in the top position when looking at the hospitality ($866m), commercial ($876m) and educational ($350m) sectors. The healthcare and residential sectors will see UAE at the top of the rank with $251m and $1.31bn respectively. Of the total $315m estimated interiors and fit out retail investment, Qatar will be the major spender with $117m.”