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The Qatar construction sector experienced a slowdown in major project development after the 2022 FIFA World Cup, however its growth rate is expected to rise by 9.5 percent between 2023 and 2030, according to Turner & Townsend’s Qatar Market Intelligence Autumn Q3 2023.
In 2023, the sector realigned with the government’s National Vision 2030 targets for transport and culture. Looking ahead to 2030, ongoing activity across the Middle East region, particularly in the Saudi Arabian construction market, will see Qatar compete for labour and resources and this will impact construction cost escalation in the near future.
Doha is currently the most expensive location to build in the region, with an average cost of US$2,588 per sqm, according to Turner & Townsend’s latest International construction market survey. As the market changes in 2023, the sector is witnessing challenges related to the availability of professional services, the workforce and contractor capability against the backdrop of the current and forecasted expenditure in the region.
Transport and cultural developments to take centre stage.
Transport and cultural developments are taking centre stage due to continued government infrastructure investment, with the 2050 Transport Plan comprising 286 schemes to be awarded in the next few years by the Qatari government.
The culture sector is also seeing diversification, with Qatar formally establishing cultural infrastructure, from museum development, preserving UNESCO heritage sites, to building creative incubators that will host international talent.
The government will continue investing in transport infrastructure as part of strengthening its logistics capability. Sea and airports are expanding their handling capacities, in terms of both passengers and cargo.
Qatar’s ports have also been crucial for economic development, and they will be of even greater importance as the government works to build on the country’s status as a regional shipping centre.
Digitalisation driving a sustainable future.
Aligned with Qatar's National Vision 2030, the nation will witness a notable surge in sustainable construction initiatives over the next few years, incorporating cutting-edge technologies designed to minimise environmental harm.
Public sector organisations in Qatar are setting the example and using digitisation to transform the construction sector. The development of Qatar's green building industry will be greatly aided by this digital infrastructure.
David Smith, Qatar Country Manager, Turner & Townsend, said:
“Qatar’s immediate construction industry growth will be supported by investments in transportation and social infrastructure projects. Ongoing sustained receipts of hydrocarbons will support Qatar's efforts to achieve its long-term economic diversification goals through the Qatar National Vision (QNV) 2030.”
“The primary objective of the QNV is to make the emirate an advanced country, capable of diversifying and sustaining its development pillars that can guarantee excellent standards of life for both the present and the future generations.’’
Read the full report here to access the data and complete construction market outlook.
For more information please contact:
Thomas Parfitt / Patrick O’Brien
Camargue
T + 44 (0) 207 636 7366
E turntown@camargue.uk
About Turner & Townsend
Turner & Townsend is a global professional services company with over 10,000 people in 50 countries. Collaborating with our clients across real estate, infrastructure and natural resources sectors, we specialise in major programmes, programme management, cost and commercial management, net zero and digital solutions.
We are majority-owned by CBRE Group, Inc., the world’s largest commercial real estate services and investment firm, with our partners holding a significant minority interest. Turner & Townsend and CBRE work together to provide clients with the premier programme, project and cost management offering in markets around the world.
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