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Asked: December 9, 20192019-12-09T12:46:36+00:00 2019-12-09T12:46:36+00:00In: Business & Finance

How is the construction and infrastructure market performing in emerging and developing markets?

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How is the construction and infrastructure market performing in emerging and developing markets?

Construction and infrastructure are usually driven by fiscal policies, as governments allocate more towards building infrastructure. Developed markets are struggling with growth due to Brexit, Trump policies etc.

How are markets performing in Asia and Africa?

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    1. Adrian

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      2019-12-09T12:57:15+00:00Added an answer on December 9, 2019 at

      The Asia Pacific is the largest market for construction, accounting for around 40% of the global market in 2019. Currently, Asia is performing better than in Europe and North America.

      Having said that, the Chinese construction sector witnessed a slowdown in recent years. The Indian Construction sector is now taking the lead in the construction sector and growing faster than China.

      Market trends suggest that the US construction will grow faster than China in the next decade while Europe will remain flat, but the UK construction sector to overtake Germany over the next few years.

      The potential investment gap in the infrastructure is the largest in the Americas, followed by Africa.  Asia is the region with the largest spending in the infrastructure sector, with China on the top.

      With the slowdown of private construction spending in the country, China is trying to compensate the sector by planning large infrastructure spending.

      GDP growth is forecasted above 7% for South and South East Asia over the next five years, which indicates the infrastructure spending will also grow in these regions.

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