Overall, construction output in the United Arab Emirates (UAE) is expected to remain below 2019 levels until 2023, says the “United Arab Emirates (UAE) Construction Market Size, Trends and Forecasts by Sector – Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis, 2020-2025” report.
The report says the ongoing Expo 2020 event (1st October 2021 to 31st March 2022) has provided assistance to the construction industry. “Activity in the commercial and tourism sector also showed an indication of recovery, with the hotel occupancy rate in Dubai reaching 62% in the first nine months of 2021 – up from 51% recorded during 2020.”
According to the forecast in the report, UAE’s construction industry is to expand by 4.2% in real terms this year (2022), compared with an estimated growth of 4.4% in 2021, and expected to register an annual growth of 3.7% during the period of 2023-2026. However, rising Coronavirus (COVID-19) cases in early 2022 could stifle the industry’s growth over the short term, it says.
KEY talking point: Overall, construction output in the United Arab Emirates (UAE) is expected to remain below 2019 levels until 2023.