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Saudis are construction Kings in the Middle East. No crisis on sight.

Luxury Hotel during Construction at Jeddah Corniche

About investment and construction in the Middle East, Citigroup said in a new report the following.

1)  Saudi Arabia leads the way in the Middle East  region construction industry with $750 billion of new projects in the pipeline, making up 31 percent of the entire regional market,

2) in second place the Gulf States GCC. As a whole, on a year-on-year basis, the value of  the Gulf States (GCC) projects planned and underway crept up 2.5 percent to $1,906 billion.

3) Iraq, which is now looking to rebuild its balance sheet, remains the third largest market in the region with just under $315 billion of new projects.
It is also showing signs of spending across segments, which could mean more opportunities for contractors.

4) In Kuwait, though the value of projects has grown 10 percent to almost $200 billion since the start of the year, the market generally is expected to be hampered in the coming months by domestic political tensions.

5) On the negative side, the report noted that the value of construction projects cancelled in the Middle East and North Africa MENA region, has risen by eight percent since the start of the year.

6) However, the value of cancelled and delayed construction projects in the region remained largely unchanged at approximately $719 billion since January 2012, the lender’s latest construction project tracker showed.

7) According to the CITIGROUP study, more than half (57 percent) of these cancelled or delayed projects were in the United Arab Emirates UAE, with the value of such projects rising two percent since Citigroup’s last report, published in January.

8) The story was significantly different in Saudi Arabia, where the value of cancelled and delayed developments pared by eight percent to $316 billion.

9) In Qatar, which has seen a huge number of new developments in recent years, the value of delayed projects plummeted by 41 percent, READ MORE HERE