+353-1-416-8900REST OF WORLD
+44-20-3973-8888REST OF WORLD
1-917-300-0470EAST COAST U.S
1-800-526-8630U.S. (TOLL FREE)

Qatar Construction - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2019 - 2029

  • PDF Icon


  • 120 Pages
  • February 2024
  • Region: Qatar
  • Mordor Intelligence
  • ID: 4827954
The Qatar Construction Market size is estimated at USD 62.95 billion in 2024, and is expected to reach USD 97.42 billion by 2029, growing at a CAGR of 9.13% during the forecast period (2024-2029).

As a result of its commitment to hosting the 2022 FIFA World Cup, its commitment to its National Vision 2030, and its ambition to host the Asian Games in 2030, Qatar is undertaking an impressive array of infrastructure and industrial projects. The current Emir (in power since July 2013) focuses on the country's domestic welfare by implementing the Second National Development Strategy.

Under Qatar's 2050 Transport Plan alone, 22 new projects worth a total of USD 2.7 billion are expected to be awarded in 2023. Dentons listed The Blue Line, an expansion of the current Doha Metro network, which would be constructed as part of the second phase of the Doha Metro Project, as one of two major projects that \"may be procured\" this year. The second of these projects, the multibillion-dollar Sharq Bridge, will likely construct a three-part bridge with underwater tunnels joining it to connect Katara Cultural Village to Hamad International Airport. Dentons was ranked as the fourth-largest law company in the world by revenue for the fiscal year 2021, with gross sales of USD 2.9 billion.

The city of the Gulf country has quickly developed its infrastructure, making it a popular travel destination. This includes cutting-edge highways, a metro system, colleges, the Museum of Islamic Art, and the stunning new National Museum of Qatar. During the FIFA World Cup Qatar 2022, the Lusail Iconic Stadium, which hosted the championship match, the Stadium 974, and the Al Bayt stadium all served as exhibits for building wonders.

Qatar Construction Market Trends

Government’s Focus on the Construction Sector

  • Government spending will play a crucial role in boosting the construction sector's growth. According to Qatar's 2021 budget, new projects worth QAR 53.9 billion (USD 14.80 Billion) were identified. These infrastructure-related projects were expected to be awarded from 2021 to 2023.
  • The government aims to develop infrastructure and diversify the economy by moving away from its dependence on the oil and gas sector. In efforts to diversify the economy, Qatar has opened economic free zones attracting companies from around the world.
  • The endorsement of new laws regulating public-private partnerships (PPPs) is expected to attract private sector investment in developing infrastructure, educational institutes, and healthcare projects, hence supporting industry growth during the forecast period. Investments in transportation infrastructure projects will also support growth during the forecast period. State-run Qatar Railways plans to begin construction of a rail line linking Qatar and Saudi Arabia at the end of 2023.
  • In addition to building stadiums specifically to host World Cup matches, Qatar has been investing and continues to invest in modernizing its infrastructure. The goal is to develop into a more significant global transportation hub. Top priorities are the development of airports, a more extensive metropolitan network, and upgraded roadways and emerging cities.
  • While some projects will have a long-term impact, the government already has many initiatives with concrete short-term benefits. The Qatari government has identified several urgent projects for the medium term, earmarking QAR 54 billion (USD 15 billion) for these. In the second quarter of 2021, spending on major infrastructure projects totaled QAR 15 billion (USD 4 billion), or 20.8% of the state's spending budget.

Booming Realty Helping the Construction Sector

  • The construction and realty sector prospects are brighter, especially outside the capital of Qatar. According to official statistics, compared to an overall decline at the national level, there was a significant year-on-year increase in the number of building permits issued in five municipalities in October 2021.
  • The overall number of building licenses issued in the nation in October 2021 decreased by 6.3% from the previous year. However, Umm Slal, Al Khor, Al Shahaniya, Al Wakra, and Al Shamal all had higher growth rates, with Umm Slal recording the highest growth of 42.9%, followed by Al Khor (25%), Al Shahaniya (20%), Al Wakra (16.7%), and Al Shamal (14.3%). In the case of Al Daayen, Doha, and Al Rayyan, there was a decrease of 28.7%, 22%, and 13.8%, respectively, in the period studied.
  • As per figures released by the Planning and Statistics Authority (PSA), Qatar issued a total of 685 building permits in October 2021, with Al Rayyan, Al Wakra, and Al Daayen municipalities together constituting as much as 65% of the total.
  • On a monthly basis, there was a decrease of 7% in the number of building permits issued, with Al Daayen registering a 35% plunge, followed by Al Shamal (33%), Doha (21%), Al Shahaniya (17%), and Al Rayyan (1%). Meanwhile, there was a 31% increase in the case of Al Wakra, 18% in Al Khor, and 11% in Umm Salal. The building permit data is of particular importance as it is considered an indicator of the performance of the construction sector, which, in turn, occupies a significant position in the national economy.

Qatar Construction Industry Overview

The Qatar construction market is fragmented in nature, with the presence of both local and regional players. Some of the key players in the market include QD-SBG Construction, Gulf Contracting, HBK Contracting, and AlJaber Engineering. Major and specialized companies have witnessed unprecedented stability and growth in the Qatari construction market. The country has undertaken large-scale infrastructure projects of various types and invited the participation of international companies.

Many construction service providers and facility management companies are racing to enter the Qatar market for services. Companies are partnering with developers to offer after-construction services. The country's facility management industry is anticipated to experience exponential growth over the following years as towers, low-rise structures, stadiums, and malls are constructed and nearing completion.

Additional Benefits:

  • The market estimate (ME) sheet in Excel format
  • 3 months of analyst support

This product will be delivered within 2 business days.

Table of Contents

1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
4.1 Current Economic and Construction Market Scenario
4.2 Technological Innovations
4.3 Government Regulations and Initiatives
4.4 Mapping of Industrial Clusters and SEZs and a Brief Analysis of Investment Opportunities
4.5 Comparison of Key Industry Metrics of Qatar with Other GCC Member Countries
4.6 Comparison of Construction Cost Metrics of Qatar with Other GCC Member Countries
4.7 Real Estate Prices (Sales and Leasing) by Asset Classes (Residential, Commercial, and Retail)
4.8 Insights into Building Permits in Qatar, by Type and Municipality
4.9 Impact of COVID-19 on the Market
4.10 Market Dynamics
4.10.1 Drivers Rapid Urabanization Increasing government investments
4.10.2 Restraints Increasing cost of raw materials affecting the construction industry Slowdown in economic growth affecting the market
4.10.3 Opportunities Increasing transportation infrastructure projects Demand for healthcare facility construction
4.11 Industry Attractiveness - Porter's Five Forces Analysis
4.11.1 Bargaining Power of Suppliers
4.11.2 Bargaining Power of Buyers/Consumers
4.11.3 Threat of New Entrants
4.11.4 Threat of Substitute Products
4.11.5 Intensity of Competitive Rivalry
5.1 By Type
5.1.1 Commercial Construction
5.1.2 Residential Construction
5.1.3 Industrial Construction
5.1.4 Infrastructure (Transportation) Construction
5.1.5 Energy and Utilities Construction
6.1 Overview
6.2 Company Profiles
6.2.1 Al Ali Engineering Co. W.L.L
6.2.2 Al Balagh Trading and Contracting
6.2.3 Arabian Construction Company
6.2.4 Al Darwish Engineering Co.
6.2.5 AL Huda Engineering Works
6.2.6 Al Jaber
6.2.7 Al Seal
6.2.8 Al Sraiya Holding Group
6.2.9 Alcat Contracting Company
6.2.10 ALEC Engineering and Contracting LLC
6.2.11 Aljaber Engineering LLC*
6.3 Other Key Companies

Companies Mentioned (Partial List)

A selection of companies mentioned in this report includes, but is not limited to:

  • Al Ali Engineering Co. W.L.L
  • Al Balagh Trading and Contracting
  • Arabian Construction Company
  • Al Darwish Engineering Co.
  • AL Huda Engineering Works
  • Al Jaber
  • Al Seal
  • Al Sraiya Holding Group
  • Alcat Contracting Company
  • ALEC Engineering and Contracting LLC
  • Aljaber Engineering LLC*