Dublin, May 14, 2024 (GLOBE NEWSWIRE) -- The "South Africa Construction Market Size, Trend Analysis by Sector, Competitive Landscape and Forecast to 2028" report has been added to ResearchAndMarkets.com's offering.
The analyst expects the South African construction industry to grow by 1.3% in real terms in 2024, supported by public and private sector investments to develop public infrastructure and renewable energy projects.
Under the country's Fiscal Year (FY) 2024-25 (April 2024 to March 2025) Budget, the government is estimated to spend ZAR2.4 trillion ($127.6 billion) in FY2024-25, with learning and culture receiving an estimated ZAR480.6 billion ($25.9 billion) in FY2024-25, followed by an expenditure of ZAR387.3 billion ($20.9 billion) for social development, ZAR265.3 billion ($14.3 billion) for community development, and ZAR255.4 billion ($13.8 billion) for economic development, among others.
In 2024, South African National Roads Agency SOC Limited (SANRAL) is estimated to issue tenders worth ZAR6.43 billion ($346.2 million) for the maintenance and upgrade of the national road network in the country. By Q4 2023, SANRAL issued 77 tenders for various road construction projects and has received around 1,040 bids for these tenders.
The analyst expects the construction industry in South Africa to register average annual growth of 3.7% during 2025-28, supported by investments in the renewable energy and the industrial sectors, with the government's plans to increase the share of renewable energy in its total electricity mix from 11% in 2019 to 41% by 2030, while decommissioning 8-12GW of coal-fired power plants by the end of 2030.
In March 2024, the Deputy President of South Africa Paul Mashatile, announced ZAR230 billion ($12.4 billion) spending into the infrastructure construction project pipeline. The government plans to boost infrastructure developments in the country by increasing public-private collaborations and partnerships with regional governments. In March 2024, Vestas, a Denmark based wind energy company, won a contract from South African Department of Energy for the construction of five new wind farm projects in the country with the combined capacity of 297MW.
Growth over the forecast period will also be supported by investments under the updated Integrated Resource Plan (IRP), revised in January 2024, which outlines the necessity to build substantial new capacity with a mix of nuclear power, renewables, clean coal, and gas to ensure reliable electricity supply and achieve a net zero electricity sector by 2050.
Scope
- Historical (2019-2023) and forecast (2024-2028) valuations of the construction industry in South Africa, featuring details of key growth drivers.
- Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
- Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
- Listings of major projects, in addition to details of leading contractors and consultants
Reasons to Buy
- Identify and evaluate market opportunities using the analyst's standardized valuation and forecasting methodologies.
- Assess market growth potential at a micro-level with over 600 time-series data forecasts.
- Understand the latest industry and market trends.
- Formulate and validate strategy using the analyst's critical and actionable insight.
- Assess business risks, including cost, regulatory and competitive pressures.
- Evaluate competitive risk and success factors.
Key Topics Covered:
1 Executive Summary
2 Construction Industry: At-a-Glance
3 Context
- 3.1 Economic Performance
- 3.2 Political Environment and Policy
- 3.3 Demographics
- 3.4 Risk Profile
4 Construction Outlook
- 4.1 All Construction
- Outlook
- Latest news and developments
- Construction Projects Momentum Index
- 4.2 Commercial Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.3 Industrial Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.4 Infrastructure Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.5 Energy and Utilities Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.6 Institutional Construction
- Outlook
- Project analytics
- Latest news and developments
- 4.7 Residential Construction
- Outlook
- Project analytics
- Latest news and developments
5 Key Industry Participants
- 5.1 Contractors
- 5.2 Consultants
6 Construction Market Data
7 Appendix
For more information about this report visit https://www.researchandmarkets.com/r/59vony
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