Qatar's built assets, including transport links, residential and commercial property, and productive industrial centres, are likely to contribute $152 billion to the Qatar economy, up 11 per cent over the last two years, said a report.

The total contribution from built assets will account for 44 per cent of Qatar’s total GDP (gross domestic product) in 2016, according to Arcadis, a leading global design and consultancy for natural and built assets.

This growth in percentage reflects the tremendous progress that Qatar has made in recent years in diversifying into new industry sectors, as well as the impact of a lower oil price, which has seen the percentage of revenue that comes from exporting natural resources decrease, stated Arcadis in its ‘2016 Global Built Asset Performance Index’.

The index, developed in conjunction with the Centre for Economics and Business Research (Cebr), examines the revenue that is generated by buildings, infrastructure and other fixed assets (homes, schools, roads, airports, power plants, malls, railways, ports) in 36 countries around the world that collectively represent 78 per cent of global GDP.

Derek Sprackett, the head of business advisory at Arcadis Middle East, said these built assets are poised to make a significant contribution to a country’s economic performance.

"In recent years, many countries across the Middle East have invested heavily and strategically in real estate and infrastructure as part of their national visions and efforts to diversify their economies. Our research shows this strategy is already paying financial dividends, as well as creating cities and communities where people want to live, work and visit," noted Sprackett.

According to Arcadis, Qatar leads the world when it comes to securing a financial return from its built assets when assessed on a per-capita basis. This year, the built assets will generate an average of $66,316 for every person living in Qatar, it stated.

This figure is significantly higher than any of the other 35 countries considered in this year’s study, demonstrating that Qatar has not only invested into its built environment, but it is also securing an impressive return on this capital spend, the company said in its report.

The Arcadis research also examined how the economic return from built assets would evolve over the next decade. For Qatar the study showed that the revenue contribution that comes from built assets would increase by 20 per cent in this period, reaching a total of $183 billion by 2026.

"Vision 2030 is providing an inspiring roadmap on how Qatar will develop over the coming years. Since its inception in 2008, a significant amount of progress has been made however drop in oil price has resulted in a very different economic environment," stated Sprackett.

A smaller number of programmes have rightly been prioritised, however, the mechanics that support the delivery process also need to become more efficient. This includes the speed at which projects are procured, tenders assessed, and schemes ultimately started.

"This is particularly important for projects relating to the 2022 Fifa World Cup which is a key milestone in the overall vision but which has a much earlier delivery date," he added.-TradeArabia News Service