Saudi, UAE lead GCC contract awards, reach historic high of Dh815 billion in 2023

The urban sector emerged as the frontrunner in terms of awarding contracts, followed by the oil and gas and utilities sectors

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Waheed Abbas

Published: Sun 14 Jan 2024, 12:17 PM

Last updated: Sun 14 Jan 2024, 9:47 PM

The Gulf Cooperation Council (GCC) countries experienced an unprecedented surge in contract awards, reaching a historic high of $222 billion (Dh 814.7 billion) in 2023, according to the latest data released by BNC Network.

Saudi Arabia and UAE led the way, followed by Qatar, Kuwait, Oman and Bahrain.

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The urban sector emerged as the frontrunner in terms of awarding contracts, followed by the oil and gas and utilities sectors.

In Saudi Arabia, the surge was primarily driven by initiatives aligned with Saudi Vision 2030, resulting in major contracts within Giga projects like the Speed Park within Qiddiya, various residential communities within Roshn, and mega projects such as Amaala and preliminary works at New Murabba.

Notably, the utility sector in Saudi Arabia also secured awards amounting to over $13 billion, aligning with the objectives of Saudi's National Renewable Energy Programme.

In the UAE, the urban sector took the lead with awards for groundbreaking projects such as the Middle East's inaugural gaming resort, Wynn Resort in Al Marjan Island, and the ambitious Habtoor Tower which aspires to be the world's largest residential tower. The oil and gas sector in the UAE closely followed, securing awards worth over $17 billion for the significant Hail & Ghasha project and the $3.7 billion Ethane recovery plant, integral to Adnoc’s decarbonisation strategy.

Meanwhile, Qatar claimed the highest contract award value within the rest of the GCC, with over $22 billion, largely attributed to significant oil and gas projects, including the $10.2 billion North Field South Expansion project for two additional LNG trains.

Kuwait followed closely with $17.21 billion in contract awards, with the oil and gas sector constituting nearly 60 per cent of the total award value. The most significant award in Oman was in the industrial sector for the $3 billion Integrated Green Steel Complex in Duqm, BNC Network said.

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Waheed Abbas

Published: Sun 14 Jan 2024, 12:17 PM

Last updated: Sun 14 Jan 2024, 9:47 PM

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