meed-logo

line1 line2 line3
SIGN IN / REGISTER

Qatar construction shows signs of recovery

16 January 2025

 

In June 2024, Qatar launched the Simaisma project on the coast to the north of Doha in the latest sign of the country’s plan to accelerate its non-hydrocarbons economic growth.

The project covers an area of over eight square kilometres and comprises 16 tourism zones available for development by the private sector, including resorts, a theme park, an 18-hole golf course, residential villas, a yacht marina, restaurants and retail facilities.

The launch ceremony was attended by Qatari Prime Minister and Minister of Foreign Affairs Sheikh Mohammed Bin Abdulrahman Bin Jassim Al-Thani, along with other key figures from the government and the investment, tourism and real estate communities.

The integrated tourism development aligns with the targets set out by the Third National Development Strategy 2024-30, which was launched last year and aims to increase the contribution of non-oil sectors in the Qatari economy.

For the best part of a decade, work on the Fifa World Cup 2022 stadiums and the associated infrastructure sustained the country’s non-hydrocarbons economic growth. However, the construction market found itself at a crossroads after the conclusion of the event.

Market overview

Since 2019, there has been a consistent year-on-year decline in contract awards in Qatar’s construction and transport sectors. The total value was $13.5bn that year, but by 2023, it had fallen to just over $1.2bn.

In 2024, the project contract award figure increased to $1.7bn in a nominally incremental increase, but one that crucially bucks the downward trend in the market in the preceding four years.

The numbers were mainly driven by the construction sector, which recorded contract awards of over $1.2bn, while transport contract awards accounted for about $200m of the overall figure.

Strategic projects worth more than $5bn in the bidding phase are expected to provide renewed impetus to the construction and transportation market and present opportunities to contractors in the near term.

The schemes involved include the Perlita Gardens project at Pearl Qatar, renovation works at Hamad General Hospital, the Al-Shamal airbase zone two, and several roads and infrastructure development schemes under Qatar’s Public Works Authority (Ashghal).

Education uplift

Last year, Qatar also progressed several public infrastructure and building schemes, the most significant of which is the plan to develop 14 schools across the country through a public-private partnership (PPP).

In March, Ashghal and local construction firm Urbacon Trading & Contracting Company signed an estimated $330m agreement to develop the project on a PPP basis.

As per the agreement, five primary schools will be built in the South Al-Wajba, Muaither, Al-Thumama and Al-Meshaf areas. Four preparatory schools will be established in Muaither, Al-Gharrafa, Al-Aziziya and Rawdat Rashed.

Three secondary schools will be developed in Ain Khaled, Muaither and Al-Thumama, and two science and technology schools will be built in the Al-Sakhama and Rawdat Al-Hamama areas.

The other significant contract signed last year was a $243m deal with China Municipal Engineering Central South Design and Research Institute Company to restore old landfills in Mesaieed and Umm Slal in Doha.

These deals were followed by Ashghal’s $76m contract award to the local firm Al-Attiyah Architectural Group Holding for the construction of the Renad Academy and a $35m design consultancy contract for the court complex and court of cassation to the Austrian firm Berger + Parkkinen Architekten.

Transport masterplan

Qatar’s transport sector is largely supported by the Transportation Master Plan for Qatar 2050 (TMPQ) plan, which its Transport Ministry unveiled in 2022. The plan supports 286 projects, including 86 highway schemes, 22 for cargo transportation, 54 public transportation schemes, 21 for pedestrians, 29 cycling schemes and 74 cross-modal and integration projects.

Future highway schemes will entail 37 infrastructure packages totalling 770 kilometres, 22 truck schemes, and 10 infrastructure and facilities schemes. The public transport programme comprises 30 schemes for upgrading the main 540km public transport network.

The masterplan also includes long-distance, metro and regional rail network plans.

Several of the schemes under the plan made some progress in 2024, with Ashghal awarding a number of infrastructure development contracts. These include the award of road improvement works in Doha city to the local firm Al-Mohannadi Group; road and infrastructure works in Birkat Al-Awamer sector 8 to Turkish firm Iris Insaat; and the remaining works in Rawdat Egdaim and Ezghawa P1 to Doha-based Lotus Trading & Contracting Company.

The investments in Qatar’s construction and transport sectors dried up significantly after the 2022 Fifa World Cup, but last year’s upward contract award trend and restrengthening pipeline of pending projects are positive signs for contractors in the country.

MEED's February 2025 special report on Qatar includes:

> GOVERNMENT & ECONOMY: Qatar economy rebounds alongside diplomatic activity 
> BANKING: Qatar banks look to calmer waters in 2025
> POWER & WATER: Facility E award jumpstarts Qatar’s utility projects
> DOWNSTREAM: Qatar chemical projects take a step forward

https://image.digitalinsightresearch.in/uploads/NewsArticle/13272161/main.gif
Yasir Iqbal

Register for MEED's guest program now to access this article.

Click here to register
Exclusive from Meed
Related Articles
  • Syrian court gives death penalty to Bashar Al-Assad

    11 August 2026

    A Syrian court has sentenced former president Bashar Al-Assad to death after trying him in absentia, convicting him of crimes committed during the country’s nearly 14 years of civil war.

    It is the first such ruling under Syria’s transitional authorities, who ousted Al-Assad in December 2024 and vowed justice and accountability for crimes committed under his rule.

    Al-Assad fled to Moscow as Islamist-led forces closed in on Damascus after a lightning offensive.

    In a Damascus court, Judge Fakhr Al-Din Al-Aryan convicted Al-Assad of crimes including “premeditated murder, the intentional killing of more than one person, the intentional killing of children under 15 years … torture, torture leading to death, and deprivation of liberty on multiple occasions” — acts the court classified as crimes against humanity and war crimes.

    “He is therefore sentenced to death,” the judge said in his ruling.

    The court also sentenced six former military and security officials to death in absentia, including Al-Assad’s brother Maher, who ran the army’s elite Fourth Division and also fled the country.

    Those convicted included former defence minister Fahd Al-Freij and Louay Al-Ali, who headed military intelligence in Daraa province in 2011.

    ALSO READ: Syria charts post-war reconstruction course

    The officials were convicted of crimes including murder, incitement to murder, torture leading to death and repeated deprivation of liberty, also classified as crimes against humanity and war crimes.

    Former security official Atif Najib – the only defendant tried in person – was also sentenced to death for crimes against humanity committed while he headed political security in Daraa province, the cradle of the country’s 2011 uprising.

    Najib, a cousin of Al-Assad who was arrested in January last year, was convicted of crimes including murder, the intentional killing of children under 15 and torture leading to death.

    The acts attributed to him are “crimes against humanity”, the court said as it handed down “the harshest punishment … which is the death penalty”.

    ALSO READ: US lifts sanctions on Syria after the EU takes similar action

    Syria began proceedings in April against Al-Assad and other officials, accused both in person and in absentia of atrocities during the civil war, which erupted after the former authorities’ brutal repression of pro-democracy protesters.

    More than half a million people were killed and millions displaced, while tens of thousands disappeared, many into the country’s brutal prison system.

    The uprising began in Daraa in March 2011 after 15 students were arrested for allegedly writing anti-government slogans on the city’s walls.

    Residents said the students were tortured, prompting protests demanding their release that ended in bloodshed.

    Security forces suppressed demonstrations and fired live ammunition to disperse sit-ins at several locations.

    Najib was dismissed after the crackdown as protests spread to other provinces.

    Judge Al-Aryan said Najib had denied the charges and shown “no remorse”.

    Al-Assad took power in Syria in 2000 in an unopposed election following the death of his father, Hafez Al-Assad, who was president from 1971.

    ALSO READ: Syria exports first crude oil batch in 14 years
    https://image.digitalinsightresearch.in/uploads/NewsArticle/18331541/main.gif
    MEED Editorial
  • Oman extends deadline for $150m water transmission project

    11 August 2026

     

    State-owned Nama Water Services (NWS) has extended the bid submission deadline for a contract to build a $150m water distribution network project in Jalan Bani Bu Ali Wilayat in Oman’s South Sharqiyah Governorate.

    The new deadline is 24 August. The original deadline was 17 August.

    The engineering, procurement and construction (EPC) contract covers the development of water distribution infrastructure in the JBBA North and JBBA Coastal areas.

    The scope includes new water storage reservoirs, elevated tanks, booster pump stations and transmission and distribution pipelines.

    The project includes two reservoirs in the JBBA North area with a capacity of 40,000 cubic metres, along with about 58 kilometres of ductile iron distribution pipelines and 343km of high-density polyethylene (HDPE) pipelines.

    The JBBA Coastal works include reservoirs at Asilah, Ashkarah, Wadi Sal and Khabbah, as well as elevated tanks and pump stations. The scope also includes about 38.5km of 400mm-diameter ductile iron transmission pipeline.

    NWS issued the main contract tender on 4 June. UK-headquartered Mott MacDonald is the main consultant on the project.

    The project is one of three water distribution schemes being tendered under a wider $350m masterplan covering Jalan Bani Bu Hassan, Jalan Bani Bu Ali, and Al-Kamil and Al-Wafi wilayats.

    The Jalan Bani Bu Hassan scheme includes a new 40,000-cubic-metre ground reservoir at Al-Sayah Al-Sharqi 4, a pump station and associated transmission and distribution pipelines. It will also include a pump station serving the Industrial Area and an inline booster pump station supplying Al-Mintajjah and Sariq Haryah.

    The projects covering Jalan Bani Bu Ali and Al-Kamil and Al-Wafi wilayats are estimated to cost £100m each. The bid submission deadline for both projects is 17 August.

    READ THE AUGUST 2026 MEED BUSINESS REVIEW – click here to view PDF

    Saudi Arabia builds for the global stage; Rising uncertainty creates fresh set of challenges in the Maghreb; Gulf banks remain robust in the face of geopolitical tensions.

    Distributed to senior decision-makers in the region and around the world, the August 2026 edition of MEED Business Review includes:

    > MARKET FOCUS: Maghreb fortunes diverge
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/18326851/main.jpg
    Mark Dowdall
  • Medina invites bids for major stormwater project

    11 August 2026

     

    Saudi Arabia’s Madinah Municipality has issued a tender for an engineering, procurement and construction (EPC) contract to upgrade the city’s rainwater drainage network.

    According to regional project tracker MEED Projects, it is the first main contract tender the municipality has issued for a major water infrastructure project since 2022.

    The $30m project covers the construction of rainwater drainage networks and the repair of existing stormwater pipelines across major roads and corridors within the urban area of Medina.

    It aims to improve the performance of the city’s stormwater drainage system, reduce surface flooding, and protect roads and nearby assets during heavy rainfall.

    The bid submission deadline is 5 September.

    According to MEED Projects data, Madinah Municipality completed two rainwater drainage network projects in Medina in 2024.

    The local Al-Ayuni Investment & Contracting was the EPC contractor for both Phase 1 and Phase 2 projects. Saudi contractor Azmeel Contracting also previously submitted bids for both projects.

    The municipality is also understood to be nearing completion of a separate Phase 1 rainwater drainage network project in Al-Rawabi in Al-Madinah province. This project was tendered in 2022 and awarded to Al-Naeim Contracting (Saudi Arabia) in 2023.

    Meanwhile, Madinah Municipality received prequalification documents at the beginning of the year for two stormwater drainage projects in Yanbu. It is unclear if the main contract tender will be issued this year.

    READ THE AUGUST 2026 MEED BUSINESS REVIEW – click here to view PDF

    Saudi Arabia builds for the global stage; Rising uncertainty creates fresh set of challenges in the Maghreb; Gulf banks remain robust in the face of geopolitical tensions.

    Distributed to senior decision-makers in the region and around the world, the August 2026 edition of MEED Business Review includes:

    > MARKET FOCUS: Maghreb fortunes diverge
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/18325305/main.jpg
    Mark Dowdall
  • Adnoc Gas expects Habshan to hit full capacity in 2027

    11 August 2026

    Adnoc Gas hopes to restore full output capacity at its Habshan gas processing facility in Abu Dhabi by the second quarter of next year, following attacks on the facility in March and April during the US-Iran conflict.

    Adnoc Gas, the natural gas processing business of Abu Dhabi National Oil Company (Adnoc Group), said it has already restored 85% of the Habshan facility’s capacity, surpassing the year-end target set in May.

    The Habshan complex is one of the largest gas processing facilities in the UAE and the wider Middle East and North Africa region. It has a processing capacity of 6.1 billion cubic feet a day. The complex comprises five trains and 14 processing units that receive gas feedstock from onshore and offshore fields in Abu Dhabi.

    The Habshan facility was struck at least three times in March and April by Iranian drones and missiles. On 19 March, UAE authorities suspended operations at Habshan after it was affected by debris falling from Iranian missiles intercepted by the country’s air defence systems.

    Adnoc Gas then announced on 23 March that operations were continuing safely across its asset base, after similar missile and drone attacks by Iran on facilities owned by its parent, Adnoc Group, although it did not specifically mention the Habshan plant.

    The worst of the attacks on Habshan took place on 3 April, when Iranian drones intercepted by the UAE’s air defence systems caused damage at the site, resulting in the death of an engineer working at the facility for Egyptian contractor Petrojet during an evacuation. Four other contractors sustained minor injuries, but were later discharged from hospital after receiving treatment.

    ALSO READ: Adnoc Gas to move prudently on Bab Gas Cap project

    On 8 April, Abu Dhabi authorities said three people – two Emiratis and an Indian national – sustained minor injuries after debris fell at the Habshan gas complex following a successful interception by the UAE’s air defence systems.

    The debris also sparked several fires at the facility, prompting a temporary suspension of operations as safety and response teams assessed the situation.

    “Adnoc Gas responded swiftly to the security-related incidents at the Habshan site on 3 and 8 April, prioritising safety and minimising disruptions to customers,” the company said on 10 August.

    “The company has concluded its technical assessment of the impact from these incidents and recovery has progressed ahead of schedule, with gas supply already restored to 85%,” Adnoc Gas said as part of its announcement of financial results for the second quarter of 2026.

    During a press conference to discuss Adnoc Gas’ Q2 2026 results, Peter Van Driel, the company’s chief financial officer, said: “At the moment, we have progressed to 85% of supply being reinstated, so the balance will be reinstated between now and the first half of 2027.

    “If I look at the cost impact, we are still firming up our estimates. There are uncertainties around the pricing of certain items that we need to install as part of the final reinstatement.

    “If we look at the key driver for our results in the second half, the 85% reinstatement of supply is definitely important. We’re encouraged by the fact that the 85% was delivered ahead of schedule,” Van Driel told journalists.

    Fatema Al-Nuaimi, Adnoc Gas’ CEO and board member, said: “If I may add one point: it might be 85%, but in reality, today we are supplying 100% of our customers’ requirements locally.”

    She added: “On exports, of course, we try our best to satisfy requirements and work closely with customers. But in terms of gas supply to the UAE, we are at 100%.”

    Role of robotics and AI

    Responding to a question about the deployment of robotics and artificial intelligence (AI) to carry out damage assessment and repair work at the Habshan gas processing facility, Al-Nuaimi said: “One of the technical challenges in restoring the facilities quickly was that we had to inspect a significant part of our assets – some 600 kilometres of piping of different sizes across the facilities.

    “If we had done this in the conventional way, we would have spent around 100 additional days putting up scaffolding and sending people to conduct manual and visual inspections.”

    The CEO continued: “Instead, we used robotics supported by AI-driven software, which enabled us to shorten the inspection and response time and carry out repairs faster.

    “It was not just about time; it was also about safety. It spared us from sending our people into critical areas that might not yet have been safe.”

    She added: “We also used robotics in responding to fires and accessing certain parts of the assets.

    “When we talk about AI, it is not a headline. It is real work and real value that we see every day in our business,” Al-Nuaimi further remarked.

    ALSO READ: Adnoc announces FID on $6.2bn Umm Shaif gas cap project
    https://image.digitalinsightresearch.in/uploads/NewsArticle/18324488/main.jpg
    Indrajit Sen
  • Dewa receives eight bids for 132kV cable works

    11 August 2026

    Eight companies have submitted bids for a contract to supply, install, test and commission 132kV cable works serving multiple substations across Dubai.

    The tender was issued by Dubai Electricity & Water Authority (Dewa) in April.

    It covers 132kV cable works for the Autosouq, Crystal, Danaroad, Dsrtisld, Elwood, Horizion, Mesmgolf, Naseemst, Orchidst, Yfravaly and Ylysisld 132/11kV substations. The scope also includes a new 132kV cable circuit and cable shifting works.

    The bidders include:

    • Acume Electrical Engineering Services (UAE, $10.7m)
    • Sociedad Espanola de Montajes Industriales (Spain, $17.8m)
    • Danway Electricity & Mechanical Engineering (UAE, $67.6m)
    • Arar Utility Company (UAE, $71.9m)
    • Mannai Trading Company (Qatar, $91.3m)
    • AASA Middle East Contracting Company (UAE, $174.5m)
    • Centaur Electro Mechanical Contracting Company (UAE, $199.6m)
    • Saudi Modern Company for Metals, Cables & Plastic Industries (Saudi Arabia, $351.4m)
    Transmission investment

    Dewa has been accelerating investment in Dubai’s electricity transmission network to meet rising electricity demand. In July, the utility said that its investments in transmission projects had exceeded AED10bn ($2.7bn).

    Dewa is currently building 65 new 132kV substations and one 400kV substation. It plans to issue tenders for more than 30 additional 132kV substations over the next three years, alongside plans to extend 340 kilometres of underground transmission cables and construct two 400kV substations.

    In the first half of 2026, Dewa said it awarded 21 contracts for 132kV transmission substations and contracts to extend 132kV cables connecting the substations to the main network. The cable contracts cover 64km and have a combined value of AED3bn ($817m).

    The utility also commissioned eight 132kV substations with a combined conversion capacity of 1,200MVA and an investment of AED970m ($264m). The projects included 20km of transmission cables.

    Dewa said it had 402 transmission substations in operation at the end of June, with 374 substations at the 132kV level. The rest are 400kV substations.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/18322875/main.jpg
    Mark Dowdall