UAE construction sector expected to surge by 9.3% in 2015
Posted on 13th May 2015
According to news reports, Hotel and tourism investments announced by government and semi-government corporations, and private companies, amounting to US$ 8.1 billion, are expected to increase competitiveness in the local hospitality market.
Andrew Elias, CEO of Dubai-based Kele Contracting said the total value of the construction sector is expected to surge by 9.3% to US$ 42.2 billion in 2015, compared to 2014.
"With total investments of US$ 39 billion in 2014, the construction sector saw a growth of 5.5%, compared to 2013," Elias said, according to constructionweekonline news reports.
"Going by the announcement of mega projects at this year's Arabian Travel Market 2015 show, I expect construction growth to accelerate as new projects break ground, especially in light of Dubai’s hosting rights for the World Expo 2020," he added.
Four-star hotels are expected to drive Dubai’s hospitality sector as it grapples to fulfil increased demand expected during Expo 2020. According to studies released by Dubai Land Department in September 2014, 160,000 more rooms will be needed to keep pace with the traffic caused by the six-month long show.
Elias added that the UAE, and particularly Dubai, continues to offer attractive investment opportunities due to its sophisticated infrastructure, encouraging investment environment, and updated legislation regulating the real estate market.Back to all Construction News
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