Construction in Egypt to Register CAGR of over 8% through 2016, States Timetric
27 Aug 2012 • by Natalie Aster
The Egyptian construction industry recorded a compound annual growth rate (CAGR) of 14.35% during the review period (2007–2011), with steady economic growth and business-friendly policies making the country increasingly attractive to foreign investors. The Egyptian construction industry is expected to register a CAGR of 8.08% over the forecast period (2012–2016).
The Egyptian infrastructure construction market accounted for 45.8% of the total value of the Egyptian construction industry in 2011, recording a strong CAGR of 15.18% during the review period. This growth was primarily attributed to significant infrastructure investments made by the Egyptian government, including three stimulus packages, coupled with increased private investment in Egyptian infrastructure development. As a result of significant developments in road and energy infrastructure, the Egyptian infrastructure construction market is expected to record a CAGR of 9.90% over the forecast period.
Industrial construction was the second-largest market in the Egyptian construction industry in 2011, accounting for 23.6% of the total industry value, after recording a CAGR of 13.92% during the review period. With a market share of 28.9%, manufacturing plants contributed the largest share in the industrial construction market in Egypt. The strong growth of the country’s manufacturing sector led to the construction of manufacturing plants achieving a CAGR of 13.98% during the review period. Overall, the market is expected to record a CAGR of 6.04% over the forecast period.
The new report "Construction in Egypt – Key Trends and Opportunities to 2016" by Timetric states that residential construction accounted for 8.0% of the total industry value in 2011, recording a CAGR of 11.34% during the review period. Significant development is anticipated over the forecast period, as Egypt attempts to address its significant housing deficit of 1.5 million affordable housing units. Egypt’s Ministry of Housing has announced plans to construct 1 million new residential units across 22 cities by 2015. According to the proposed plan, the government will provide land and the private sector will undertake construction for an agreed price. This investment is expected to help the Egyptian residential construction market to record a CAGR of 6.75% over the forecast period.
Construction in Egypt – Key Trends and Opportunities to 2016
Published: July, 2012
Price: US$ 1.950,00
The Egyptian institutional construction market recorded a CAGR of 12.96% during the review period. Over the forecast period, construction in this area is expected to be fueled by efforts to remedy inequalities related to access to healthcare and education, with substantial increase required in educational spending to improve the educational levels in the country, in terms of both quality and access. Driven by increased healthcare and educational construction, the value of the Egyptian institutional construction market is expected to record a CAGR of 5.78% over the forecast period.
More information can be found in the report “Construction in Egypt – Key Trends and Opportunities to 2016” by Timetric.
To order the report or ask for sample pages contact [email protected]