Tunnel vision guides region
7 April 2025
Commentary
Colin Foreman
Editor
Read the April MEED Business Review
Gulf cities are buzzing with economic growth. Populations are growing, real estate values are rising and project activity is ramping up as developers launch real estate projects.
From a construction point of view, economic success is best represented by the high-rise towers stretching across the skylines that now define the region’s modern urban identity. While towers continue to be developed, how Gulf cities perform in the future will depend more on what is built below the ground rather than above it.
As buildings have become taller, population densities have increased, putting huge pressure on infrastructure networks. This is most apparent on the roads, with cities blighted by crippling traffic in peak periods.
More investment in infrastructure is needed to overcome this challenge, and crucially, with space on the surface limited, the solution is to build more roads and utilities networks underground. This has been done before with projects such as the metros in Dubai, Doha and Riyadh, and the deep gravity sewerage network built in Abu Dhabi, and in each case, the projects have demonstrated the value of building heavy civil infrastructure underground.
Emboldened by these successes, the region is working on a new generation of tunnelling projects. Dubai’s proposed Loop system, backed by Elon Musk’s Boring Company, is one of the highest-profile examples of this trend. Others include projects such as the Riyadh Metro Line 7, the Blue and Gold lines for Dubai Metro, along with ongoing metro projects in Cairo.
The momentum in the Middle East comes amid growing pressure on global investment in tunnelling due to economic headwinds, inflation and geopolitical tensions.
Although the Middle East is not immune to global trends, its growing cities, combined with the means and the desire for them to become the world’s best cities in the future, will mean that the region will remain a bright spot for tunnelling for the foreseeable future.
READ THE APRIL 2025 MEED BUSINESS REVIEW – clck here to view PDF
Regional construction heads underground; Riyadh reaps both diplomatic and economic success; Luxury GCC hospitality projects drive tourism
Distributed to senior decision-makers in the region and around the world, the April 2025 edition of MEED Business Review includes:
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> AGENDA 1: Traffic drives construction underground
> AGENDA 2: Muted public spending hinders global tunnelling
> TOURISM 1: Beaches and luxury drive regional tourism
> TOURISM 2: Region’s hotel projects pipeline balloons
> EDMOND DE ROTHSCHILD: Investing in Saudi Arabia’s infrastructure opportunities
> DATA CENTRES: GCC’s top five data centre projects
> SAUDI PPPs: Rise in PPPs reflects Saudi budgetary pragmatism
> SAUDI ARABIA REPORT: Riyadh enjoys buoyant fortunes
> GULF PROJECTS INDEX: Gulf index sees minor correction
> CONTRACT AWARDS: Project awards slump notably in February
> ECONOMIC DATA: Data drives regional projects
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Exclusive from Meed
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Dubai seeks consultants for drainage projects6 February 2026
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Modon tenders Ras El-Hekma construction contracts6 February 2026
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Egypt contractor secures €58m loan for Hungary power plant6 February 2026
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AD Ports signs Jordan Aqaba port PPP deal6 February 2026
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Chinese firm wins Ceer automotive supplier park deal6 February 2026
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