The Gulf Projects Index saw a third week of gains in the week ending 11 November, expanding by 0.5 per cent.

Kuwait led the growth, with an increase of 4.4 per cent, as it added $8.9bn to its projects market, buoyed by new power schemes including a Ministry of Electricity & Water project to extend the 132kV ground cables network in the Jaber al-Ahmed area.

Oman, the Gulf’s second smallest projects market after Bahrain, also saw significant gains, expanding by 2.5 per cent, as it added $3.7bn to its projects market.

The UAE’s projects market saw a minor increase of 0.7 per cent over the week. The expansion was driven by $5.9bn in new project announcements, the majority of which were construction, power and transport schemes. Amid the new additions is a $500m project to construct a power plant to enable increased production from the Dubai Aluminum (Dubal) complex, which houses one of the world’s largest aluminum smelters.

Dubal will be the owner and operator of the new power plant and is currently waiting for a feasibility study to be completed.

Iran recorded the biggest decrease over the week, with a contraction of 0.8 per cent.

The drop in the value of the Islamic Republic’s projects market came ahead of a possible agreement on Tehran restricting its nuclear programme in return for relief from economic sanctions.

Talks are taking place between Iran, the US, Russia, China, Germany, the UK and France.

Iraq was the only other market to shrink, dropping 0.1 per cent.

Saudi Arabia, the region’s largest projects market, stayed unchanged over the week as new schemes worth a total of $1.1bn were offset by completed projects, budget reductions and inactive schemes.