Q1 2022 Market Intelligence Update: MEA Construction

MEA construction market remains dynamic despite global price pressures

May 25, 2022
  • Gary Alan
  • Laura Morgan MRICS

Although indicators pointed to improving market sentiment towards the end of last year, notable economic developments more recently have led many forecasters to revise their projections for global GDP. Furthermore, the impact of geo-political tensions and rising commodity & energy prices is reflected in recent inflation data.

Ongoing supply chain disruptions (partly stemming from China’s Covid-related restrictions in Q2), manufacturing delays and increasing global demand for materials has resulted in rising commodity prices. Meanwhile soaring energy prices, as well as the rising price of metal commodities, is impacting construction material prices in Middle East and other parts of the world. In our view, the current trend of rising material prices in the region will continue in the near term.

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