Qatar’s construction industry is set to maintain its top position among the region’s best performing markets with researcher Business Monitor (BMI) forecasting a 9.5% year-on-year sectoral growth in 2012.
BMI estimates that Qatar’s construction sector grew by 9.3% in real terms in 2011.
In its third quarter, 2012 infrastructure report, BMI said construction and energy projects worth $150bn are in the pipeline, which are being implemented to support Qatar National Vision 2030 and the 2022 FIFA World Cup.
“With vast hydrocarbon wealth inflating public coffers and a business environment offering stability at a time of wider regional unrest, we expect Qatar’s construction market to be regarded as a safe haven for the region’s investors,” BMI said.
Last year, HE the Minister of Economy and Finance, Yousef Hussein Kamal, said Qatar’s spending on infrastructure was expected to reach $150bn ahead of the 2022 FIFA World Cup, in line with the country’s 2030 Vision.
A series of infrastructure projects are in the pipeline, including a $1bn transport corridor project in Doha, $20bn investment on roads, $25bn investment in the railway sector, $15.5bn to be spent on a new airport, $4bn to be invested in stadiums; $8bn to be spent on a deepwater seaport besides the construction of many new hotels that will add thousands of rooms.
In July last year, the Public Works Authority (Ashghal) had announced a road construction plan to connect Ras Laffan Industrial City with University Road and the Shamal Road, providing three lanes in each direction. The plans were unveiled as part of a larger scheme to build roads around the western and northern borders of the Ras Laffan Industrial City.
The first phase of the Ras Qirtas energy plant was completed in August 2011, BMI said. The $4bn plant will generate 2,730MW of power and some 63mn gallons of desalinated water.
The plant will supply the Qatar General Electricity and Water Corporation (Kahramaa) under a 25-year contract. The production will then be used to feed the local network or the GCC electricity link-up system. The development marks the commissioning of the biggest electricity generation plant in the country.
Work has also begun on the $1.37bn Doha Festival City project, the report said.
This is just one of a series of flagship projects that have got under way in Qatar since the country was awarded the FIFA 2022 World Cup in December 2010.
“Preparations for the FIFA 2022 World Cup will effect major changes in Qatar’s infrastructure industry. While major international players undoubtedly stand to win from big-ticket stadia and infrastructure projects, local contractors also stand to benefit substantially, either through partnering with foreign firms or undertaking a smaller project, of which there are many,” BMI said.