The construction industry remains an important strength for the United Arab Emirates economy. Market studies have revealed a shift in the construction sector since 2015 and as a result it has slowed down over the last few years.
In spite of the current climate, the construction industry remains optimistic. Government authorities in the Middle East region have been making efforts and creating positive changes within the market to improve the construction sector, attract foreign investment and new company setups in Dubai.
In 2017, the value of construction contracts awarded amounted to USD $108 billion for the GCC region.
Overall the projects market has underperformed across different sectors and GCC countries except for Dubai. The real estate market is less reliant on the government budget for infrastructure projects, this motivates new entries in the market through various business setups.
Regional projects look solid with over USD $2 trillion currently in planning stages, showing there is still very much a need and demand in the construction industry.