Rail projects worth $352bn underway in MENA
Saudi Arabia has largest investment, at an estimated $118.9bn
Sixteen major railway projects worth $352bn are underway in the Middle East and North Africa, according to Terrapinn Middle East.
The organiser of the Middle East Rail conference notes that Saudi Arabia has the largest expected investment in rail services, at $118.9bn, which includes projects like metro, tram, high-speed, and long-distance freight and passenger networks.
Qatar has planned investments worth $46.7bn, along with Algeria ($34.4bn), Egypt ($30.9bn), the UAE ($27bn) and Iran ($24.6bn). Oman, Kuwait, Iraq and Bahrain have investments ranging between $17bn and $12bn, the company said.
According to another report by the Institute of Chartered Accountants in England and Wales (ICAEW), Kuwait, Saudi Arabia, the UAE and Oman will likely see the biggest windfalls, with logistics forecast to contribute 13.6%, 12.1%, 11.7% and 11.7% to their respective economies by 2018.
“With current market conditions as they are, it’s a great opportunity for international rail suppliers to enter the market. Governments are now diversifying their resources, putting more emphasis on projects that are not oil-related,” said Jamie Hosie, project director at Middle East Rail.
“With transport and logistics sectors playing an increasingly important role in the region’s economies, governments are now looking towards innovative technologies to boost economic sectors that will boost intra-regional trade and tourism activities.
