The Gulf Cooperation Council (GCC) projects market has seen a 39% decline in contract awards in the first five months of 2025 compared to the same period last year, dropping to $67bn from $110bn in 2024. Despite the slowdown, ongoing and emerging projects in sectors like aviation, sport, real estate, public infrastructure, and public-private partnerships offer opportunities in the region. Saudi Arabia’s focus has shifted to event-driven projects, with Riyadh receiving an $800m-$900m contract for the Riyadh Metro project. Additionally, the construction of stadiums and infrastructure for upcoming events like the World Cup and Expo 2030 is driving construction activity.
In Morocco, construction projects linked to the 2030 World Cup are on the rise, with investments in transport infrastructure, including airport expansion and high-speed rail. The country is also undertaking stadium construction, with a $320m contract awarded for the Grand Stade Hassan II stadium. The hospitality and tourism infrastructure, including hotel developments, are also seeing significant construction activity in preparation for the 2030 World Cup.
Aviation remains a key focus for the GCC, with major airport projects in progress in Riyadh and Dubai. Riyadh’s King Salman International Airport aims to become the world’s largest in passenger capacity, while Dubai’s Al-Maktoum International Airport is undergoing development to replace Dubai International Airport. The real estate market in Dubai continues to drive construction activity, with a surge in high-rise and supertall tower launches, attracting foreign investment.
The Middle East construction sector, while experiencing a subdued start in 2025, remains active with strategic project planning and a shift towards prioritized delivery. The region continues to host ambitious projects such as the World Cup and Expo 2030, with a focus on meeting tight cost constraints. The role of Public-Private Partnerships (PPPs) is increasing, with countries like Saudi Arabia, the UAE, Iraq, and Jordan advancing PPP schemes in various sectors to drive infrastructure development and economic growth.
Read more at Yahoo Finance: Middle East still offers large scale construction opportunities