The Sultanate of Kuwait’s real estate market is a pillar of strength for the local economy, as its health is tied to the Kuwaiti population as a whole. Aside from Oil sector, Kuwait has two major markets that are stock exchange and real estate. Despite the setbacks witnessed amidst of global economic downturn, the country’s building and construction sector still hold potential and the market is slowly beginning to recover from the impact of the turbulent economic times. The real estate sector and related sectors have been contributing bit over seven percent to the gross domestic product (GDP) over the past decade. Stability of oil prices, high income, low inflation and low prices of construction materials, and attempts by real estate companies to address consequences of global financial crisis have contributed to backing the real estate sector in Kuwait. Heavy government investment in building social infrastructure is expected to drive the sector. The government's projected spending of KD 37 billion during the 2010 - 2014 within the development plan is expected to boost real estate, coupled with housing facilities offered by banks.
Ventures Middle East with its vast experience on up to date tracking of projects across industries and countries in the Middle East has aimed to explore the main areas of growth in the Kuwait building construction market and the prime forces driving the growth of this market while trying to enumerate and outline the main restraints to the growth as well over the coming years.
The Kuwaiti Building Construction Industry is expected to witness contract awards worth an estimated US$ 2451 million in 2010 and US$ 1954 million in actual building construction spending in the corresponding period. The Ventures Kuwait Building Construction Industry -touching new heights report 2010, analyzes all the subsectors within the building construction sector such as retail, commercial, residential, mixed use, tourism and leisure and others (includes educational institutions, hospitals, airports and other miscellaneous projects) in detail as to their growth and prospects in the current economic scenario and their future up to 2012.
Key Highlights of the study includes a probability impact matrix of the drivers and restraints to the growth of the building construction industry, besides providing detailed and vital statistics on the contracts awarded and the construction spend across all the segments of the building construction market that comprise the largest areas of activity in the industry, namely, residential, commercial, mixed use, retail, tourism and leisure and others and the top projects in these major sectors and an overview of the main political, social, economic, technological, legal and environmental factors shaping the growth of the industry in the Kuwait. This study provides a comprehensive understanding of the complete market dynamics of the Kuwait Building Construction Industry to assist players interested in assessing the market opportunities in this resilient yet dynamic market.
