Projects announcements in Kuwait and Saudi Arabia give boost to Gulf Projects Index
In the week ending 9 September, the Gulf Projects Index climbed 0.1 per cent as expansion in Saudi Arabia more than compensated for the continuing contraction of Iraqs projects market.
Saudi Arabia, the regions biggest projects market, grew by $3.4bn, an expansion of 0.3 per cent as several new large-scale projects were announced.
Among the schemes helping to buoy the market is Saudi Aramcos $3.5bn Ajyal Residential project, which will see 2,700 villas constructed along with associated facilities in the city of Dhahran.
Prequalification documents for the construction contracts are currently being evaluated. The main contract is expected to be awarded in March 2015 and completed in March 2025.
|Project name||Project status|
|Iraq||Badra Oil Field development: phase 1 CPF||Complete|
|Oman||Nizwa to Ibri Road dualisation: phase 2||On hold|
|Saudi Arabia||Ajyal residential development: 2,700 Villas||New project|
|Saudi Arabia||Kempinski Al-Othman hotel in Khobar||Complete|
|UAE||Jumeirah Beach Club||Design|
|For further information visit www.meed.com/meedprojects|
The only fall of the week on the Gulf Projects Index was in Iraq, which saw a drop of 0.4 per cent. Iraq has seen $72.1bn wiped off its projects market since extremist group Islamic State in Iraq and Syria (Isis) swept through the country in June seizing control of Mosul, Iraqs second-biggest city.
The failure of US-backed troops to make inroads in their battle to push back the jihadists has led to billions of dollars-worth of projects being put on hold.
|Upcoming tender deadlines|
|Oman||Transport & Communications Ministry||Batinah Expressway: package 8||Sep-14|
|Kuwait||Ministry of Electricity & Water||Overhead lines various locations||Sep-14|
|Saudi Arabia||Mecca Municipality||Mecca Metro: phase 1||Oct-14|
|Dubai||Dubai Electricity & Water Authority||M station expansion||Oct-14|
|Oman||Oman Power & Water Procurement Company||Salalah 2||24-Oct|
|For further information visit www.meed.com/tenders|
Elsewhere, the regions second-biggest market, the UAE, remained flat finishing the week at $740.5bn after seeing a 0.4 per cent decline the previous week.
Qatars market rose 0.1 per cent, leaving it up by 7.8 per cent year-on-year.
The regions smallest markets both saw moderate gains, with Bahrain rising by 0.2 per cent and Oman by 0.1 per cent.
Kuwait saw the biggest expansion relative to its index size, increasing by 0.7 per cent as it added $1.5bn to its projects market.
$72.1bn Contraction in Iraqs project market since 10 June
$3.4bn Expansion in Saudi Arabias project market in the week ending 9 September
$3.5bn The value of Saudi Aramcos Ajyal residential development
For further information visit www.meed.com/contracts
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