Headlines
- Multi-Billion Road Project Set to Boost Thika’s Industrial and Economic Prospects
- Tanzania's New $5 Billion Administrative Capital: Magufuli City Underway
- Construction Begins on Tanzania's Multibillion 22-Storey Twin Towers in Nairobi
- 2024-25 Budget Speech Highlights the Growth and Priorities of Tanzania's Construction Sector
- More Than 19 Companies To Represent 'Saudi Made' At BUILDEXPO Africa 2024
- Record breaking figures at Kenya's biggest construction trade exhibition
- Kenya Unveils $2 Billion Plan for New Nairobi Airport Project amid Growing Pressure on JKIA
- Tanzania Gives Go-Ahead to Massive Sh80.85 Billion Mbamba Bay Port Construction Project
- KeNHA Unveils Strategic Sh394 Billion Plan to Construct Major Highways in Kenya
- Ruto’s Multi-Million Plan to Host the 2027 Africa Cup of Nations (AFCON) Tournament in Kenya
Construction operation in Africa is on the rise
Africa's construction industry includes increasing building ventures in various parts of African countries, such as Eastern Africa, Southern Africa, Western Africa and North Africa, in all sectors, including commercial construction, residential construction, industrial construction, infrastructure (transportation building) and electricity and power construction. The sector further differentiated into categories of building projects, such as extensions, renovation, new constructions and new constructions.
Construction activities are becoming bigger on the continent. This is attributed to rapid urbanization, fast economic growth, a growing middle class and regional convergence in many of the 54 nations in Africa, according to recent estimates. As major building projects take place on the continent, they all add to the ever increasing demand of the African construction industry.
This progress leaves business leaders with a number of questions about how to better obtain project financing, what is required for effective project management, what projects have priority, and how to enter the African marketplace.
One of the most controversial topics cited by industry analysts is the rising cost of doing business. With rising construction materials and labor costs, companies are expected to continue to protect their margins in the coming year. On the labor side, the lack of skilled employees has resulted in employers raising real salaries above the national average. Experts claim that rising labor prices, including training and wages increases for existing workers, would reduce the bottom line of the contractors.
Most African countries have invested a lot of money on construction-related projects in the last few years, and over 6.4% growth in the construction sector is projected in the coming years.
Posted on : 07 Oct,2020
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