More new business opportunities in the GCC recently opened up for Brazilian investors with $32 billion worth of large-scale urban construction projects now being tendered in the region, according to the Arab-Brazilian Chamber of Commerce (ABCC).
The ABCC, said that the report recently released by Dubai-based market research firm BNC Network is strong proof that the GCC remains a promising market for Brazilian businessmen.
The report reveals that a total of 801 urban construction projects with a combined value of $32bn are currently being tendered in the region. The same report also forecasts that the value of regional construction contracts will hit the $50.9bn mark by the end of 2017.
“The urban construction projects are another opportunity worth exploring by investors from the vast South American country, which will pave the way for more avenues to further flourish the relations between the Gulf countries and Brazil,” said Dr Michel Alaby, Secretary General and CEO, ABCC.
“We are closely coordinating with our partners to see how we can further facilitate the flow of information and knowledge between interested parties to maximize new prospects in the rapidly increasing construction activities in the region.”
BNC attributes the ‘tremendous’ construction projects in the region to mega-events such as Dubai Expo 2020, as well as oil price stabilization, economic diversification policies, and higher living standards.
It expects the total contract value to expand by 29 per cent to $65.6bn in 2018, and by 1 per cent to $66bn in 2019.
Projects of note
BNC also notes that the UAE remains the region’s construction industry hub, citing substantial contracts sealed during the second quarter of 2017 in the country.
These include the Deira Island Mall in Dubai; City Center – Al Zahia in Sharjah; and residential complexes Yas Acres in Abu Dhabi.
A contract covering Danat Al Lawzi in Bahrain was successfully closed as well during the same period, the report adds.