The Gulf Projects Index was down 0.5 per cent in the week ending 30 October as projects markets contracted across the board.

Saudi Arabia saw the biggest fall in the value of its projects market, with a $8.7bn drop, or 0.7 per cent, as it wrestles with a growing deficit.

Some $2bn of road schemes were put on hold in the kingdom, while $.7.9bn of projects were completed, including the $5.5bn industrial area of Emaar the Economic City’s King Abdullah Economic City.

New water and social infrastructure projects worth $1.1bn were not enough to put the market back in growth.

Qatar saw the largest percentage fall in the value of its projects market, down 1.5 per cent week on week, or $4.2bn. The market’s year-on-year growth has also dropped to just 1.7 per cent.

More than $2bn of real estate projects added in the week and $1bn of oil and gas investment did not boost the market overall.

Kuwait also recorded a 0.3 per cent contraction in its projects market, although it remains the fastest-growing market in the region year-on-year. The fall was caused by projects completions, and hopes remain high for the Kuwait projects market over the next year.

Iraq saw a 1.2 per cent drop in the value of its projects market, as oil and gas schemes were cancelled due to Baghdad’s budget worries. The oil and gas sector lost $2.6bn in the week, while the transport sector dropped by $2.5bn. Iraq remains the worst-performer in the Gulf, down 10.6 per cent year-on-year.

The value of the UAE’s projects market stayed flat. Just $1.6bn in new real estate projects were added, along with $485m of infrastructure work, falling short of project completions.