One report said that the construction sector in the UAE will thrive in the post-Expo 2020 period due to new government initiatives, rising oil prices and improved investor confidence in the economy.
Research and Market, the world’s largest market research firm based in Dublin, said in its latest report that increased crude oil production and government efforts to diversify the economy are expected to increase investment in construction in the United Arab Emirates over the next five years.
The construction sector, which recovered last year after two years of deflation, is expected to grow at an annual growth rate of 4.64 per cent over the period 2019-23 versus 1.08 per cent in 2014-18. It is expected to reach $ 101.2 billion by 2023 from $ 80.7 billion in 2018 due to the recovery in crude oil prices, higher exports of non-oil products and a lower fiscal deficit.
The report entitled “Construction in the UAE – Key trends and opportunities to 2023” said new investments are expected in residential, energy, utilities, infrastructure and commercial building projects.
According to various government initiatives such as the Ministry of Education Strategic Plan 2017-21, the National Strategy for Higher Education 2030, the Education 2020 Strategy, the Energy Strategy 2050, the Sheikh Zayed Housing Program and the Dubai Tourism Strategy, the report said that the construction sector has a promising future.