GCC to spend $90bn on education-related construction
Saudi Arabia is the biggest spender in education in the region, expected to invest $56 billion building 465 new schools
TDIC’s Cranleigh School in Abu Dhabi. The UAE is spending an estimated $2.6 billion on building schools.
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GCC governments are expected to spend more than $90 billion on building schools and universities, according to “The Big 5” report by Ventures Middle East.
The figure makes the education sector one of the biggest for contractors and suppliers in the region, the report states, with population in the GCC predicted to grow from 50.6 million this year to 55.8 million by 2018.
As per the report, Saudi Arabia is the biggest spender in education, and is expected to invest $56 billion building 465 new schools. Another 1,500 schools will be refurbished, while construction work on 1,544 existing school projects is expected to continue.
The UAE is spending an estimated $2.6 billion, or 21 percent of its 2014 budget, on building schools, the report said.
Qatar and Oman have allocated $7.2 billion and $6.8 billion respectively for education infrastructure, while Kuwait will spend $10.5 billion, and Bahrain $2.2 billion.
“There are huge business opportunities for suppliers who understand the education sector,” said Andy White, event director for The Big 5 exhibition, which will run from November 17-20 at the Dubai World Trade Centre.
“The GCC has a young demographic and governments are investing heavily in education,” he added, according to the report.
GDP per capita income in the region is estimated to increase from $45,184 in 2011 to $51,286 in 2016, the Big 5 report says, leading to a “willingness to spend on education, especially for private sector education.”
