Saudi construction entering boom period
Saudi Arabia’s construction sector has turned the corner and is experiencing strong growth, reports Gulf News, noting that building contracts in the kingdom during the first three quarters of 2000 were 48.5 percent higher than during the corresponding period in 1999.
According to a report prepared by the NCB Economist, which was published by Jeddah-based National Commercial Bank, 261 electricity, road building and industrial pro-contracts were awarded from through September 2000, with a combined value of 9.84 billion riyals.
The newspaper reported that construction-related spending in Saudi Arabia is expected to total 225 billion Saudi riyals over the next three years. Fueling the boom the rise in oil revenues in 1999 and 2000.
The Saudi government’s seventh development plan includes a variety of construction and construction-related projects, including the building of hospitals, schools and industrial plants, and the expansion of existing facilities.
Furthermore, the Riyadh’s liberalization and privatization programs are expected to suit the interests of the construction sector. The NCB report stated that 20 percent of spending on construction will go toward residential housing. — (Albawaba-MEBG)
© 2001 Mena Report (www.menareport.com)