Bid evaluation is currently under way for several big-ticket projects that had been tendered earlier this year, with the contract awards imminent for some of these schemes, according to a new research by GlobalData.
These projects, as well as the new tenders are likely to be floated in the fourth quarter, stated GlobalData’s MEED in its report.
The main construction contract for Dubai’s Elan townhouses project is expected to be awarded in November, while bid evaluation is underway for the contract to build the $680 million Guggenheim Abu Dhabi museum. Bids are also being evaluated for the $533 million Al Faisaliah Mall hotel in Riyadh.
These new findings come as a major boost to the sector which has been hit very badly by the Covid-19 pandemic.
As per an earlier Global Data report, the commercial value of construction contracts issued in the GCC fell by more than 50% in the first eight months compared to the same period in 2019.
"New work opportunities have significantly dried up for the GCC's construction sector since last year, and regional contractors remain uncertain about their prospects for the months ahead. However, some major projects have proved impervious to the disruption," remarked Neha Bhatia, the construction editor of GlobalData’s MEED.
"These projects, as well as the new tenders should provide a degree of optimism to regional companies that have struggled with a slow and steady decline in activity – punctuated by economic shocks such as Covid-19 – over the past 18 months," stated Bhatia.
"Until then, contractors in the GCC must continue to play the waiting game to tide over this dry spell," she added.-TradeArabia News Service
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