Value of kingdoms projects market rises by 15 per cent
The revival of Saudi Arabias renewable energy programme triggered a 15 per cent increase in its projects market in the week ending 29 July.
The kingdoms renewed impetus for renewables, first revealed in its Vision 2030 in April, along with some $9bn-worth of new schemes, breathed life into the overall Gulf Projects Index, which rose 4.5 per cent during the week.
In numbers
15% Increase in value of Saudi projects market
$4bn Combined value of hotel projects planned in Mecca
4.5% Increase in value of Gulf Projects Index
The new terminal planned by the Saudi General Authority of Civil Aviation (Gaca) at King Khaled International airport (KKIA) in Riyadh is one of the largest new projects inducted into the kingdoms projects list.
Several hotels with a combined value of close to $4bn are also being planned primarily in Mecca by the local Sulaiman Abdulaziz Al-Rajhi Real Estate Investments Company.
Every other individual Gulf market contracted during the week apart from Kuwait, which rose 0.4 per cent, and Iran, which remained unchanged.
The sharpest declines were registered by Qatar and the UAE. Qatar slid 0.5 per cent, while the UAE fell 0.4 per cent.
The week saw 16 projects with a contract value of about $2bn being completed in Qatar, while only five new schemes worth an estimated total of $93m were added.
The UAE saw 16 new schemes added, with a collective budget estimated at $860m. However, this was offset by the completion of some 18 projects with a combined value of about $2.4bn.
| Country | 29-Jul-16 | 22-Jul-16 | % change on week | 31-Jul-15 | % change on year |
|---|---|---|---|---|---|
| Bahrain | 73,284 | 73,354 | -0.1% | 68,593 | 6.9% |
| Kuwait | 255,294 | 254,377 | 0.4% | 235,185 | 8.2% |
| Oman | 194,047 | 194,310 | -0.1% | 167,519 | 16.0% |
| Qatar | 269,681 | 270,906 | -0.5% | 296,108 | -8.5% |
| Saudi Arabia | 1,176,115 | 1,022,799 | 15.0% | 1,206,912 | -15.3% |
| UAE | 849,071 | 852,720 | -0.4% | 827,099 | 3.1% |
| GCC | 2,817,492 | 2,668,466 | 5.6% | 2,801,416 | -4.7% |
| Iran | 273,566 | 273,566 | 0.0% | 198,237 | 38.0% |
| Iraq | 331,442 | 331,942 | -0.2% | 379,388 | -12.5% |
| Gulf Total | 3,422,500 | 3,273,974 | 4.5% | 3,379,041 | -3.1% |
| PROJECT UPDATES THIS WEEK | ||
|---|---|---|
| Country | Project | Status |
| Saudi Arabia | Renewable energy programme | Revived |
| Saudi Arabia | King Khaled International airport expansion: Terminal 6 | Study |
| Saudi Arabia | Tilal Al-Naseem | Execution |
| UAE | Habshan 5 NGL Recovery | On hold |
| Saudi Arabia | Riyadh Rapid Bus Transit System project: Phase 1 | On hold |
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