By Vicky Kapur www.business24-7.ae
The UAE’s infrastructure sector will grow by 3.3 per cent this year and the industry value will reach Dh79.6 billion in 2010, a new report has said.
The quarterly UAE Infrastructure Report by Business Monitor International (BMI) reckoned that infrastructure growth in the UAE this year will be fuelled by Abu Dhabi, and to a lesser extent by transport infrastructure projects in Dubai, such as the Green Line Metro project, the Al Maktoum International Airport and the expansion of Dubai Airport.
“Abu Dhabi’s nuclear power tender dominated developments in the run-up to 2010,” the report says, adding that the $20bn (Dh73.45bn) contract will be a major driving force behind value creation for Abu Dhabi’s construction sector.
“The emirate has announced that it is planning to invest $15bn in infrastructure between 2009 and 2012. The latest companies to seek an expansion outside Dubai are Drake and Skull, Al Habtoor Leighton and Arabtec,” the BMI report said.
“In the transport sector, Abu Dhabi also grabbed investors’ attention, as the transport authority is nearing the finish line of one of the most widely anticipated transport concessions in the region. In February 2010, three consortia were shortlisted for the concession to build and operate the Mafraq-Ghuweifat highway,” the report said. The success of this project is a litmus test, it added.
In BMI’s Infrastructure Business Environment Ratings, the UAE is in fifth place out of 10 countries in the Middle East regional table. Its score is above the regional average.