Sahm App acquires over one million users in just one year, elevating the trading experience through innovation    OMODA&JAECOO: Breaking 20,000 units in a single month for 7 consecutive months    Over 900,000 establishments comply with Saudi Wage Protection Program    GASTAT: Saudi women's participation in the labor force reaches 36.2% in 3Q 2024    Saudi minister of defense meets UAE president in Abu Dhabi    'Wrth' community initiative launched in Riyadh in conjunction with the Year of Handicrafts    Saudi Arabia's net FDI rises by 37%, reaching SR16bn in Q3 of 2024    WHO urges China to share Covid origins data, five years on from pandemic's emergence    State of emergency declared in Trinidad and Tobago amid exceptionally deadly year    India launches its first space docking mission    Hungary's controversial presidency of the Council of the European Union comes to an end    Angelina Jolie and Brad Pitt reach divorce deal    Philip Morris leverages tech, innovation for smoke-free world    Kuwait coach plots to topple former team Bahrain in Khaleeji Zain 26 semi-final    Bahrain coach aims to outsmart former boss in semi-final clash with Kuwait    Al-Sahafi joins Saudi squad ahead of Khaleeji Zain semi-final against Oman    Quarterly net FDI surges 37% to SR16 billion in 3Q 2024    Oman gear up for Saudi semi-final clash in Khaleeji Zain 26    Belgium becomes first EU nation to ban disposable e-cigarettes starting January 1    30 artists from 23 countries to participate in Tuwaiq International Sculpture Symposium 2025    Order vs. Morality: Lessons from New York's 1977 Blackout    India puts blockbuster Pakistani film on hold    The Vikings and the Islamic world    Filipino pilgrim's incredible evolution from an enemy of Islam to its staunch advocate    Exotic Taif Roses Simulation Performed at Taif Rose Festival    Asian shares mixed Tuesday    Weather Forecast for Tuesday    Saudi Tourism Authority Participates in Arabian Travel Market Exhibition in Dubai    Minister of Industry Announces 50 Investment Opportunities Worth over SAR 96 Billion in Machinery, Equipment Sector    HRH Crown Prince Offers Condolences to Crown Prince of Kuwait on Death of Sheikh Fawaz Salman Abdullah Al-Ali Al-Malek Al-Sabah    HRH Crown Prince Congratulates Santiago Peña on Winning Presidential Election in Paraguay    SDAIA Launches 1st Phase of 'Elevate Program' to Train 1,000 Women on Data, AI    41 Saudi Citizens and 171 Others from Brotherly and Friendly Countries Arrive in Saudi Arabia from Sudan    Saudi Arabia Hosts 1st Meeting of Arab Authorities Controlling Medicines    General Directorate of Narcotics Control Foils Attempt to Smuggle over 5 Million Amphetamine Pills    NAVI Javelins Crowned as Champions of Women's Counter-Strike: Global Offensive (CS:GO) Competitions    Saudi Karate Team Wins Four Medals in World Youth League Championship    Third Edition of FIFA Forward Program Kicks off in Riyadh    Evacuated from Sudan, 187 Nationals from Several Countries Arrive in Jeddah    SPA Documents Thajjud Prayer at Prophet's Mosque in Madinah    SFDA Recommends to Test Blood Sugar at Home Two or Three Hours after Meals    SFDA Offers Various Recommendations for Safe Food Frying    SFDA Provides Five Tips for Using Home Blood Pressure Monitor    SFDA: Instant Soup Contains Large Amounts of Salt    Mawani: New shipping service to connect Jubail Commercial Port to 11 global ports    Custodian of the Two Holy Mosques Delivers Speech to Pilgrims, Citizens, Residents and Muslims around the World    Sheikh Al-Issa in Arafah's Sermon: Allaah Blessed You by Making It Easy for You to Carry out This Obligation. Thus, Ensure Following the Guidance of Your Prophet    Custodian of the Two Holy Mosques addresses citizens and all Muslims on the occasion of the Holy month of Ramadan    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Saudi construction boom to maintain momentum
Published in The Saudi Gazette on 07 - 05 - 2012

The construction sector will continue its significant contribution to Saudi Arabia's economy and the flow of awarded construction contracts will remain undisturbed in 2012 as the demand for improved infrastructure still remains a priority, the National Commercial Bank (NCB) said in its "Construction Contracts Index (CCI)" for the first quarter of 2012.
The performance of the sector during Q1'12 showed that 2012 "will continue to sustain the construction boom." The plethora of public funding of projects toward infrastructure related construction is aimed at alleviating most of the shortfalls in basic services while accommodating the future needs of a rapidly growing population, the study noted.
The Q1 Index said the value of awarded contracts during the first quarter of 2012 continued unperturbed, signaling a strong start in awarded contracts for the year, the report said, reflecting a significant shift away from the typical lull that occurs during the first half of the year.
The education, roads, healthcare and urban development sectors which were sectors that were highlighted in the Kingdom's 2012 budget, contributed to the fast start as a result of considerable injections by the government to deploy its capital expenditures.
Those sectors alone accounted for more than SR15 billion or 30 percent of the total value of awarded contracts. Anchor sectors, such as the petrochemical, power and industrial sectors accounted for more than SR23 billion or 44 percent of the total value of awarded con-tracts.
Given the government's plan to increase capital expenditures for 2012, the study said the Kingdom's strategic goals to develop its non-oil sector will likely encourage heavy investments into the hospitality, healthcare and education sectors for years to come.
In addition to the significant spending in the areas high-lighted in the 2012 budget, "we expect the petrochemical and power sectors to continue to carry the heavy load of awarded contracts throughout the year," NCB said in the study.
Moreover, the recent approval of six mega industrial expansion projects by the Royal Commission for Jubail and Yanbu in the amount of SR21.6 billion will initiate numerous contract awards in the short-term, it noted.
The SR52.2 billion in awarded contracts during Q1'12 reflects a slight increase compared to Q1'11 where approximately SR49.7 billion in construction contracts were awarded.
The CCI rebounded from January's 312.45 points by gradually increasing to 329.07 and 349.03 during February and March, respectively. The CCI was sustained by the first quarter's strong performance coupled with an impressive run of numerous mega projects that were awarded at the conclusion of 2011. Furthermore, the CCI recorded a 86 percent boost during Q1'12 compared to Q1'11.
The geographic breakdown of awarded contracts revealed that the Eastern Province commanded the largest share with an overwhelming 36 percent of the total value of awards. Mega projects in the petrochemical and industrial sectors contributed to Eastern Province's commanding share, the Q1 Index noted.
The Makkah region's 22 percent share was mainly attributed to the government's emphasis on urban development in Jeddah as well as the continued focus on developing affordable housing options for its citizens.
The Riyadh region benefited from increased infrastructure related improvements lending to numerous awarded contracts in the power and road sectors. Those contracts allowed the Riyadh region to capture an 15 percent share.


Clic here to read the story from its source.