The Gulf projects index fell by 0.2 per cent to $2.4 trillion for the week up to 13 September, with five out of the six GCC states recording a drop in the value of projects planned or under way.

Oman was the only GCC country not to record a fall in the value of its projects market. The UAE witnessed the biggest decline.

The total value of projects planned in the UAE fell by 1.4 per cent to $615bn, the lowest it has been since June 2007. The main contributor to its decline was the completion of the $3.8bn Green line metro project. The completion of another six projects worth $1.4bn and the removal of a $3bn power and desalination project from the index, also contributed to the drop in the value of the UAE’s projects market.

Qatar’s projects market recorded the second biggest drop in the Gulf, with the total value of projects falling by 0.7 per cent to $225bn. The addition of a $100m sewerage project was not enough to counteract the completion of three projects worth $696m.

Bahrain’s index witnessed a contraction of 0.5 per cent. A revised budget for a gas compressor station project contributed to the drop.

Outside the GCC, Iran’s projects market continued its impressive growth with an increase of 2.2 per cent to $312.2bn. The revival of the estimated $5bn Farsi Offshore block development was the main driver behind the growth. Four new oil and gas projects worth a total of $1.8bn also contributed to the rise of the projects planned or under way in the Persian state.

Iraq remains the Gulf’s fastest growing projects market, recording a 51 per cent year-on-year increase. The political uncertainty across the region this year continues to impact the Gulf’s projects index, with a 13 per cent year-on-year decrease.