Middle East

MIDDLE EAST (The Middle East countries will see positive GDP growth in the 2nd Q of 2022):

The Middle East economies and construction sector could be severely impacted by the ongoing war in Ukraine. It is difficult to forecast the long-term impact on these economies and construction sectors.

Some Middle East/North African countries such as Algeria, Libya, Iraq, Saudi Arabia, Iran, and some of the Middle East Gulf States (Qatar, Kuwait, and UAE) are likely to experience an economic windfall from the recent price spikes of their exports of oil and LNG products.

2022 will be a challenging year for some Middle East construction sectors. The effect of the ongoing war with Ukraine on the construction sector has yet to be fully understood. However, look for growth, particularly in the oil/refinery, energy petrochemical/industrial construction sector in 2022. Some economists are forecasting $125 a barrel of crude oil, which could increase energy/petro/gasoline prices by 50%.

The rising price and demand for oil could turn out to be a great boost for Middle East countries that could benefit future oil and gas construction projects.  

We are starting to see signs the COVID-19 epidemic is starting to weaken in some Middle East countries, unfortunately, the OMICRON strain showed up in December, however, this problem appears to be improving.