Dublin, July 15, 2024 (GLOBE NEWSWIRE) -- The "Algeria Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis, 2024-2028" report has been added to ResearchAndMarkets.com's offering.
The construction industry in Algeria is expected to grow by 2.9% in real terms in 2024, owing to investments in renewable energy, housing, and industrial sectors, coupled with increasing demand for oil and gas.
In December 2023, the Finance Bill 2024 was announced, as part of which, capital expenditure increased by 19%, to DZD2.9 trillion ($20.8 billion). Of the total, DZD848 billion ($6.1 billion) was allocated to the health sector, DZD313.52 billion ($2.3 billion) in payment appropriations for the construction of 460,000 housing units. In another boost to the industry, in February 2024, the government announced that Malaysia-based Lion Group will be investing DZD835.4 billion ($6 billion) for the construction of an iron production unit with a capacity of 1.7 million tonnes per year and a new flake production unit with a production capacity of four million tonnes annually in Bechar.
Furthermore, in January 2024, the government announced that 326 projects will be implemented in 2024 in the fields of education, health, and social security. Previously, in November 2023, the Domestic Algerian Chinese Fertilizers Company (ACFC) reported that it is planning to tender DZD974.6 billion ($7 billion) worth phosphate projects in 2024 for the construction of a phosphate-to-fertilizer plant at Bled el-Hadba in Tebessa, with an annual capacity of 5.4 million tons, and the construction of a port facility at Annaba.
However, tightening of monetary policy, political unrest, and cancellation of projects can pose a significant downside risk to the industry's outlook in the short term. For instance, two refinery projects with a total value of DZD960.7 billion ($6.9 billion) were cancelled and halted amid ongoing political disputes with India and Spain.
The industry's output is expected to grow at an annual average rate of 4.2% between 2025 and 2028, supported by the government's efforts to expand renewable energy capacity, and decrease carbon emissions by at least 7% by 2030, compared to 2012 levels. Among the recent developments, in December 2023, Indonesia State-owned oil and gas firm Pertamina announced its plan to invest DZD125.3 billion ($900 million) in the development of the Algerian energy sector by 2048.
Growth over the forecasted period will also be supported by investments in oil and gas and hydrocarbon projects. In March 2024, the government announced its plan to invest DZD7 trillion ($50 billion) in the hydrocarbons sector, with 71% funding earmarked for exploration and production projects, 18% for petrochemical projects, 5% for gas liquefication, and the rest for the development of the country's pipeline network by 2027. Of the total, DZD1.2 trillion ($8.8 billion) will be invested alone in 2024.
Scope
- Historical (2019-2023) and forecast (2024-2028) valuations of the construction industry in Algeria, featuring details of key growth drivers.
- Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
- Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
- Listings of major projects, in addition to details of leading contractors and consultants.
Reasons to Buy
- Identify and evaluate market opportunities using the analyst's standardized valuation and forecasting methodologies.
- Assess market growth potential at a micro-level with over 600 time-series data forecasts.
- Understand the latest industry and market trends.
- Formulate and validate strategy using the analyst's critical and actionable insight.
- Assess business risks, including cost, regulatory and competitive pressures.
- Evaluate competitive risk and success factors.
Key Topics Covered:
1 Executive Summary
2 Construction Industry: At-a-Glance
3 Context
3.1 Economic Performance
3.2 Political Environment and Policy
3.3 Demographics
3.4 Risk Profile
4 Construction Outlook
4.1 All Construction
- Outlook
- Latest news and developments
- Construction Projects Momentum Index
4.2 Commercial Construction
- Outlook
- Project analytics
- Latest news and developments
4.3 Industrial Construction
- Outlook
- Project analytics
- Latest news and developments
4.4 Infrastructure Construction
- Outlook
- Project analytics
- Latest news and developments
4.5 Energy and Utilities Construction
- Outlook
- Project analytics
- Latest news and developments
4.6 Institutional Construction
- Outlook
- Project analytics
- Latest news and developments
4.7 Residential Construction
- Outlook
- Project analytics
- Latest news and developments
5 Key Industry Participants
5.1 Contractors
5.2 Consultants
6 Construction Market Data
7 Appendix
For more information about this report visit https://www.researchandmarkets.com/r/j0c5vs
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