Construction & Real Estate
From The Report: Kuwait 2013
View in Online Reader

Driven by a national development strategy, a raft of new projects are taking shape in the construction industry, all of which provide opportunities for both domestic and foreign contractors. Meanwhile, real estate is in the early stages of a recovery, with legislation and the high purchasing power of a young and expanding population helping the sector to regain lost momentum. This chapter contains an interview with Adel Al Roumi, President, Partnerships Technical Bureau.

Articles from this Chapter

Overview

A long-term view: Major projects are set to transform infrastructure in the coming decades
OBG
plus

Like many around the world, Kuwait’s construction sector endured a challenging period as a result of the global economic recession. However, thanks to the implementation of a national development strategy that aims to overhaul Kuwait’s infrastructure and diversify its hydrocarbons-focused economy, a raft of new developments are taking shape across a range of sectors, all of which provide opportunities for domestic and foreign contractors alike. STRATEGY: Much of the construction work currently…

Analysis

Coastal treasures: Two island developments should help to attract tourists and investors
OBG
plus

Two of Kuwait’s largest developments are being built on islands – one with a history of habitation that stretched back to 2000 BC and the other on a challenging landscape that has long been viewed as unsuitable for settlement. While both are significant in scale, the approach of the government to the development of each is quite distinct. RECOVERY: Failaka Island lies 20 km off Kuwait’s coast and until the Iraq invasion of 1990 was home to about 2000 people. Mined and depopulated during…

Interview

OBG talks to Adel Al Roumi, President, Partnerships Technical Bureau (PTB)
OBG
plus

Interview:Adel Al Roumi In the wake of new legislation, to what extent have public-private partnership (PPP) projects been able to attract participation from foreign companies? ADEL AL ROUMI: The government has established a PPP programme to promote and support increased private sector participation in infrastructure PPP projects in Kuwait. Law No. 7 of 2008 sets the foundation for the implementation of these projects in the country and combines the goal of attracting private sector participation…

Overview

Bouncing back: A young, growing population and better oversight support the sector
OBG
plus

While Kuwait’s economy showed a high degree of resilience in the face of the global economic crisis, its real estate sector – particularly the more vulnerable commercial segment – did not escape unscathed. However, the market by 2012 proved itself to be in the early stages of a sustained recovery, while legislation has helped the sector regain much of its lost momentum. The high purchasing power enjoyed by a young and expanding population, combined with Kuwait’s anticipated economic growth,…

Analysis

Paying up: Islamic lenders are developing more extensive home financing packages
OBG
plus

As only Islamic lenders are permitted to offer home financing packages, Kuwait’s mortgage market differs significantly from others in the region. Unsurprisingly, this is a state of affairs that conventional banks would like to see changed. “Mortgage loans are a big problem here in Kuwait,” Aly Mahmoud Shalaby, the head of consumer banking at Gulf Bank, Kuwait’s second-largest lender by market value, told the local press in 2012. “Conventional banks are upset and not happy, and we [put]…