Source: Â http://www.meed.com
Transport contract awards, particularly for rail and metro projects, are indicating a shift in government priorities
Rail contract awards are driving a boom in project development across the Middle East, as the value of megaprojects under way hits a new high. It is a trend that will continue to shape the construction industry for some time to come.
According to MEED’s Top 100 Projects quarterly index, the value of projects in progress has risen by 5 per cent in the third quarter, with $275bn-worth of large-scale schemes under development. Projects worth $1.5bn or more qualify for the Top 100.
Much of this growth can be attributed to huge investment in new metro schemes in the region, specifically Saudi Arabia’s $22.5bn investment in its Riyadh Metro. At the end of July, Arriyadh Development Authority awarded billions of dollars-worth of construction packages to three consortiums for its planned six-line network.
The wider transport market also dominates the projects index, accounting for $81.9bn-worth of the transport megaprojects currently in progress. The dominance of rail and transport in general is unlikely to diminish anytime soon.
According to MEED Projects, there are about $290bn-worth of transport infrastructure projects planned in the Middle East, with about $115bn-worth being rail schemes of a value of $1.5bn or higher. More info
