• Construction

    OBG’s Construction sector analysis highlights investment opportunities in the infrastructure, residential, commercial and industrial segments. Government policies are reviewed along with labour, materials and land costs, trends in bank lending and the public tendering process.
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Despite the potential of a massive infrastructure-spending programme by the South African government to spur growth for the construction industry local contractors are grappling with delays in tendering many projects, which is leaving order books thinly marked and confidence low.

Located in the westernmost region of North Africa, Morocco has an impressively diversified economy and in recent years has benefited from steady growth. The country has strong trade links with the EU and has a young population – with the median age of its roughly 32m people at 27.3 years – which in turn provides the country with a large supply of available and comparatively skilled labour.

The construction industry is looking to a series of projects, combined with increasing demand from the private sector, to generate momentum following a period of minimal growth and thin margins.

Chapter | Construction & Real Estate from The Report: Morocco 2013

The construction sector achieved 4.2% growth in 2011 and has consistently contributed around 5% to 6% of the GDP over the last eight years. Public spending on infrastructure has created opportunities for both local and foreign firms in the last decade. From 2003 to 2012, the government invested nearly Dh180bn (€16m) in basic infrastructure in an effort to improve capacity and efficiency. Foreign...

The country may be a new entrant to the international construction industry, however, it has had several well-established firms for many years. Both developers and contractors, such as the Kingdom Holding Company and Saudi Binladin Group, have grown into some of the best-known names in the country. With the country continuing to experience...

While the construction industry in many countries may still be in the doldrums, in Saudi Arabia, it is proving to be the driving force behind economic growth. Indeed, the Kingdom is the envy of the region, eyed covetously by contractors elsewhere. All the parts are in place for construction to remain a growing industry over the coming decade....

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