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Increased construction activity in Qatar in 2013

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World Cement,

According to a report released by the Ministry of Development Planning and Statistics, the ‘Qatar Economic Outlook 2013 – 2014 Update’, Qatar has seen a 6.2% increase in GDP compared to 2012 due partly to an increase in construction activity and infrastructure projects in the country. Other contributing sectors included trade, transport and communication, finance and business services.

Real GDP growth is expected to further increase in 2014 to around 6.8% due to the implementation of large infrastructure projects, made necessary by the fast growing population. In 2013, the population grew by 11.4% y/y compared to 2012 and a higher labour demand for the government’s infrastructure projects has resulted in a rise in the number of foreign workers in the country.


In the non-oil and gas economy, both in 2013 and 2014, broad based double-digit real growth is expected. This growth will be driven by investment in infrastructure and real estate. Construction activity will continue to grow throughout 2014 and is set to be the fastest growing sector in Qatar’s economy. The sector is projected to expand by 13.1% in 2013 and accelerate to around 15.7% in 2014.

The government is set to invest heavily in public and transport infrastructure over the coming years. Areas of concern include drains and sanitation, local roads, expressways, the Doha metro and railways. Furthermore, there are plans in place for the construction of new health centres and education facilities. Private construction activity will also boost economic growth in the country through the increase of residential and commercial development projects. These include new shopping centres, hotels and labour accommodation.

Manufacturing, basic fabrication activity and the cement sector will benefit from the increase in construction projects. Growing demand for cement and metals related to the large investment projects is expected to sustain momentum in other manufacturing activities throughout 2014.

Read the full version of the Qatar Economic Outlook 2013 – 2014 Update here.

Edited from various sources by Rosalie Starling

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