Saudi project capex to hit $71bn
Riyadh, February 18, 2013
The capital expenditure for the upcoming projects in Saudi Arabia is poised to hit SR269.7 billion ($71.6 billion) in 2013, registering a modest two per cent increase over SR264 billion last year, said a report.
The government’s projected expenditures for 2013 reveal that heavy capital spending will remain as status quo, reported the Saudi Gazette, citing the National Commercial Bank’s Construction Contracts Index (CCI).
It noted that the government’s intent to continue to spend heavily in the education, health, municipality, transportation and water sectors will allow for further growth of these sectors in 2013 compared to 2012. These sectors witnessed a significant increase in expenditures in 2012 to reach SR60 billion.
The Saudi construction sector will witness a sustained robust growth this year. 2012 provided the Saudi economy with a continued solid, sustainable outlook of the construction sector. The sheer volume of awarded contracts indicate that 2013 will extend the familiar trend of significant, ongoing construction projects in their execution phase, of which the majority that were awarded in 2012 have already been initiated< the report added.
Some of the anticipated capital expenditures for 2013 include the construction of 539 new schools, 19 new hospitals and the development of 3,700 km for new roads across the Kingdom.
The SR235.1 billion in contracts awards during 2012 reflected the construction industry’s continued vibrancy and its foundation as a fundamental building block of the Kingdom’s economy, said the report.
The total value of awarded contracts during H2’12 reached SR108.3 billion versus H1’12, which accumulated to SR126.7 billion, the report added.
More Construction & Real Estate Stories
- Damac launches luxury apartments at Expo site
- Kuwaitis top GCC property buyers in Oman
- Rubber World to showcase at Big 5 Saudi
- Tool to help create effective property listings
- 'Smart' move by Dubai Design District
- Drake unit wins $13m contract in India
- Solar-powered cleaning boats launched in Sharjah
- $27m Expo Hotel Sharjah deal signed
- Arabtec unit wins $282m Emaar contract
- Abu Dhabi to host pool & spa expo
- ADCM unit secures $213m bridging loan
- Cluttons Dubai launches new luxury apartments
- Dubai developer Damac profits triple to $641m
- Dubai to start work on $544m water canal
- Dubai property market can absorb 25,000 units
- Jones Lang LaSalle renamed 'JLL'
- Aldar raises synergy estimate from Sorouh merger
- UAE industrial property sector keeps up growth
- Dubai residential property prices up 26pc
- Majid Al Futtaim to build new mall in Dubai IMPZ
- 300 firms to take part in Dubai property forum
- Naseej inks deal to develop Bahrain projects
- Dadabhai unveils new residential project
- Flowcrete completes Dubai Mall project
- Global asphalt demand hits new high
- $1.3bn infrastructure investment firm set up in Saudi
- Manara sees big project villa success
- Global giants eye RAK utility projects
- Cayan partners with international artist Zsuzsanna
- Samsung, Hyundai win $1.7bn Iraq deals