{"id":9998,"date":"2016-04-05T18:32:25","date_gmt":"2016-04-05T11:32:25","guid":{"rendered":"http:\/\/www.siamlandbank.com\/propertynews\/?p=9998"},"modified":"2016-04-05T17:01:30","modified_gmt":"2016-04-05T10:01:30","slug":"dubais-expo-2020-infrastructure-spending-to-boost-uae-construction-sector","status":"publish","type":"post","link":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/dubais-expo-2020-infrastructure-spending-to-boost-uae-construction-sector\/","title":{"rendered":"Dubai's Expo 2020 infrastructure spending to boost UAE construction sector"},"content":{"rendered":"


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\nThe UAE’s construction market remains on course to grow at a faster pace than its wider economy, fuelled by infrastructure spending in Dubai, according to one analyst.BMI Research is forecasting growth of 6.6 per cent for the UAE’s construction market in 2016, considerably ahead of the IMF’s forecast of 2.6 per cent growth for the wider economy. The value of the UAE’s construction industry is set to increase to Dh181bn in 2017 from an estimated Dh162bn this year, the firm said. BMI Research also predicts growth of more than 6 per cent for the following three years as Dubai ramps up infrastructure spending ahead of Expo 2020, but a fall off to 2 per cent to 3 per cent a year from 2020 onwards.
\nIt argued that Dubai’s planned projects in real estate and energy infrastructure are “progressing well”, but said that Abu Dhabi had been more exposed to the downturn in commodities, as both government and private sector spending were more reliant on the oil & gas market. Using remittances from the emirate to Pakistan as a proxy for construction activity (because so many many labourers in Abu Dhabi come from the country), it said there was a slowdown in activity for most of last year.
\nDespite this, BMI Research said that major projects such as the Route 2020 Metro extension on the Red Line, the expansion of Jebel Ali Port and the nearby Al Maktoum Airport would continue to drive activity. It added that even the postponed Etihad Rail phase two – providing the link to Dubai and Abu Dhabi – is likely to be built as it has been assured federal government funding and there remains a solid business case for the UAE to build its own network regardless of the wider GCC project.
\n“The UAE would gain a major competitive advantage over regional peers with the introduction of a rail service,” the report said. “Congestion on the UAE’s road networks has become a major issue, so removing significant volumes of freight traffic would be of dual benefit to businesses and the wider population.”William Bodie, an executive vice president at US-based building consultancy Parsons, agreed with the report’s assertion that Dubai is likely to drive growth in the near future.
\n“In our work as a consultant, we’re seeing a heavier volume of proposals and work orders across the board in Dubai as compared with Abu Dhabi. “That doesn’t mean there’s nothing going on in Abu Dhabi, but you are seeing the effects of the oil pricing model right now affecting things much more in Abu Dhabi than in Dubai.”Yet Patrick McKinney, head of Gulf States for contractor BAM International, said that the 6 per cent growth figure put forward by BMI Research was “very optimistic”.
\n“There is activity in Dubai, for sure, but if you look across the region from Saudi Arabia to Kuwait, even Qatar and Oman, it is unquestionably slowing down. “The real estate sector in Dubai is holding up for now, and there’s a bit of infrastructure work, but generally I don’t think anyone is saying it’s growing at six per cent. A lot of stuff has been in the planning stage for a while, but it’s been pushed back and delayed,” Mr McKinney said.
\n“If you talk to the big consultants, they’re laying people off, which is a harbinger of bad times coming.”mfahy@thenational.aeFollow The National’s Business section on Twitter
\n
\nSource : thenational.ae
\nRead more…Dubai’s Expo 2020 infrastructure spending to boost UAE construction sector<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

The UAE’s construction market remains on course to grow at a faster pace than...<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"false","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":"","jetpack_publicize_message":"","jetpack_is_tweetstorm":false,"jetpack_publicize_feature_enabled":true},"categories":[1],"tags":[],"class_list":["post-9998","post","type-post","status-publish","format-standard","hentry","category-property-news"],"jetpack_featured_media_url":"","jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p75ss1-2Bg","jetpack-related-posts":[{"id":8134,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/kanoo-chairman-sees-opportunities-as-expo-2020-infrastructure-projects-start\/","url_meta":{"origin":9998,"position":0},"title":"Kanoo chairman sees opportunities as Expo 2020 infrastructure projects start","date":"March 16, 2016","format":false,"excerpt":"\r \r The Kanoo Group expects the start of infrastructure projects for the Expo 2020 to present business opportunities for the Abu Dhabi-based diverse business conglomerate amid the economic slowdown. The Expo 2020 Dubai is expected to attract 25 million visitors, about 70 per cent of them from overseas. The\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":42313,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/dh11-billion-worth-of-expo-2020-contracts-to-support-dubais-growth-this-year\/","url_meta":{"origin":9998,"position":1},"title":"Dh11 billion worth of Expo 2020 contracts to support Dubai's growth this year","date":"January 30, 2017","format":false,"excerpt":"\r The award of Dh11 billion worth of construction contracts at the Expo 2020 site this year has reinforced economists' existing expectations of growth in the UAE this year, but is not expected to significantly change them.The Expo 2020 Bureau in charge of delivery of the event on Monday announced\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":48344,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/salini-impregilo-lands-435m-contract-to-build-dubais-meydan-one-mall\/","url_meta":{"origin":9998,"position":2},"title":"Salini Impregilo lands $435m contract to build Dubai's Meydan One Mall","date":"March 17, 2017","format":false,"excerpt":"\r The Italian contractor Salini Impregilo said on Thursday it won the US$435 million contract to build the new Meydan One Mall in Dubai, for which a groundbreaking ceremony was held on Wednesday evening. The contractor said that it would be responsible not only for building the mall but also\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1795,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/gcc-contract-awards-to-drop-by-15-in-2016\/","url_meta":{"origin":9998,"position":3},"title":"GCC contract awards to drop by 15% in 2016","date":"January 18, 2016","format":false,"excerpt":"\r \r The value of construction contracts due to be awarded this year is set to drop by 15 per cent as government spending plans in the GCC are reined in by low oil prices.According to Meed, the value of projects is set to decline to US$140 billion this year,\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":42293,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/dubai-expo-2020-committee-to-award-dh11bn-of-construction-work-this-year\/","url_meta":{"origin":9998,"position":4},"title":"Dubai Expo 2020 committee to award Dh11bn of construction work this year","date":"January 30, 2017","format":false,"excerpt":"\r Expo 2020 Dubai has said that it plans to award this year 47 construction contracts with a total value of Dh11 billion.The organising committee said that a further 98 non-construction contracts for services ranging from event management to merchandising and legal advice will also be distributed. They will have\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":21106,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/uaes-property-loans-improving-despite-price-slide-imf-says\/","url_meta":{"origin":9998,"position":5},"title":"UAE's property loans improving despite price slide, IMF says","date":"July 27, 2016","format":false,"excerpt":"\r The quality of real estate loans in the UAE has continued to improve despite sliding home prices, the IMF said, in a sign that the UAE is coping better with a real estate downturn than it did in the previous slump seven years ago.Dubai's average residential real estate price\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/9998"}],"collection":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/comments?post=9998"}],"version-history":[{"count":0,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/9998\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/media?parent=9998"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/categories?post=9998"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/tags?post=9998"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}