As of the third quarter this year, the GCC has over $1.4 trillion worth of Infrastructure projects, making it the second largest sector of the construction industry in the region.
Thanks to Saudi Arabia’s Vision 2030 of non-oil dependency and economic diversification strategy to develop public service sectors such as health, education and infrastructure, the kingdom is at the forefront for the most number of project announcements. KSA leads the infrastructure segment with $697 billion active projects, accounting for 48% of the GCC’s active project value.
On the other hand, the UAE is the second largest market accounting for 20% of the GCC’s active infrastructure project value. Infrastructure projects are a high priority for the UAE government as they represent the key pillars of the country’s development plans to achieve its position on the global economic map and a high ranking in the global competitiveness indexes. From 2017-2018, the UAE was ranked first regionally by the World Economic Forum for its infrastructure.
With nearly 5000 active projects, the GCC’s infrastructure sector is set to boost the economy with key upcoming projects.
Here’s our pick of the Top 5 Infrastructure projects across the GCC:
King Abdullah Economic City (KAEC) – Millennium Seaport, Saudi Arabia
Valued at $9.28 billion, the project’s scope of work involves construction of a 2.6 million square meter millennium seaport at King Abdullah Economic City in Saudi Arabia. With its close proximity to the Holy cities of Makkah and Madinah, the port will have a dedicated Haj terminal that is expected to receive over 500,000 pilgrims every season.
More details on the project can be found here
Hyperloop Transportation Network (Dubai - Abu Dhabi), UAE
One of the most anticipated projects in the UAE to ease travel stress for public commuting to and from Dubai and Abu Dhabi, the $4.85 billion Hyperloop Transportation Network is the first of its kind in the UAE that is expected to drive passengers and Cargo from Dubai to Abu Dhabi in 12 minutes.
More details on the construction timeline of the project can be found here
Kuwait International Airport Expansion Terminal 2 (Package 1), Kuwait
Valued at $3.7 billion, the project is expected to have capacity of 13 million passengers a year, and includes three symmetrical wings of departure gates. The facades span 1.2 kilometers and extends from a 25 meters-high central space. The building is planned with a single roof canopy with glazed openings that will filter daylight and deflect direct solar radiation.
Find out who is working on the project here
Musandam Airport, Oman
With the objective of attracting new markets to Oman and profiling the Sultanate as a tourism and hospitality destination, the new Musandam Airport ($480 million) is expected to attract around 250,000 passengers per year. Already in its second phase of construction, the airport will have two runways, a service and hangar area suitable for the handling of Boeing 737 and Airbus 320 size aircrafts as well as other associated facilities.
Find out more about the project here
Bahrain International Airport Modernisation Programme, Bahrain
The Bahrain International Airport Modernisation Programme ($1.4 billion) is a 20-year comprehensive development plan designed to improve the infrastructure and services at the airport to cater to future aviation needs, including the construction of a new passenger terminal, in addition to the expansion and refurbishment of the existing terminal. The initial expansion phase is expected to increase the airport's capacity to 14 million passengers a year from the current nine million passengers a year.
Find out more details on this project here
Emphasis on infrastructure is the most common denominator among the GCC countries’ development plans. As stated in a report by Orient Planet, the GCC is among the world’s most ambitious construction industries with mega infrastructure developments. Contract awards expected in the second half of the year is forecast to be $28.5 billion.