According to Timetric’s Construction Intelligence Centre, the construction industry in Singapore is expected to expand over the forecast period (2015 – 2019), due in large part to support by government investments in transport infrastructure.
As well as addressing the housing needs for the middle-class population and focusing on developing renewable energy sources, the government also aims to improve transport and tourism infrastructure through projects such as the MRT Masterplan-Cross Island Line, the MRT Masterplan-Downtown Line and the Tuas West Extension. The government plans to issue contracts worth SGD26 – 37 billion annually for infrastructure development projects until 2019 in accordance with this.
In real terms, the industry’s output value rose at a compound annual growth rate of 6.39% during the review period (2010 ¬– 2014). It is expected that the rate of growth will decelerate however, to 2.48% over the next five years due to weakening economic growth. Timetric anticipates the industry’s output value will increase slightly in real terms.
The largest market in Singapore’s construction industry was residential construction, which accounted for 38.5% of the industry’s total value in 2014. The market is expected to maintain its position over the forecast period. A predicted increase in population is likely to result in an increased demand for residential houses, which will further aid the market.
Adapted from press release by Rebecca Bowden
Read the article online at: https://www.worldcement.com/asia-pacific-rim/11012016/singapore-construction-industry-to-expand-300/