The Gulf Projects Index dropped 3.9 per cent in the week ending 6 November as Saudi Arabia pulled down the overall market.

Saudi Arabia saw the biggest fall for the second week running with the market contracting 12.1 per cent with the $180bn KA-Care renewable energy programme being put on hold following almost two years with no updates from the authorities. Saudi Arabia’s projects market is also continuing to suffer as the kingdom manages a growing deficit and reduced government revenues.

There is little movement in the region’s other markets and the second-biggest loss this week was witnessed by the Oman projects market, which contracted by 0.6 per cent. The fall in the Oman market was mainly due to several mixed-use residential schemes being completed with only one new project announced.

The UAE projects market rose 0.5 per cent as $4.8bn of new projects added this week. Overall there was almost $700m-worth of projects completed this week.

Several power schemes, including the $1.5bn Aras combined-cycle power plant, have meant Iran’s project index gained 1.8 per cent as the market continues to improve week-on-week. The Iranian index is now up 8.5 per cent year-on-year with many expecting this positive trajectory to continue.  

Kuwait’s projects market witnessed the second-largest percentage increase after Iran with a rise of 1.6 per cent, remaining the fastest-growing market with a year-on-year percentage gain of 20.3 per cent.

Qatar remained flat this week following a significant fall last week. About $212m-worth of projects were added to the index. Qatar’s year-on-year performance also remains flat.

The year-on-year fall of 11.2 per cent for Iraq’s market was maintained by another week of contractions as it recorded a 0.2 per cent fall. Iraq witnessed about $600m-worth of projects being put on hold with no new schemes announced.