Region rated world’s best for port development
7th place ranking for overall transport infrastructure
A report from global analysts EC Harris has ranked the GCC as the most attractive region in the world for investment in port developments.
Spurred by mega-projects such as Khalifa Industrial Zone, Abu Dhabi (KIZAD) and Oman’s Al Duqm, the survey assessed expected FDI growth and the ease of entering and doing business across a number of markets.
The region ranked ahead of China, India, Brazil and the US.
“Given the volume of oil that leaves from ports across the Middle East on a daily basis, the waterways throughout the GCC are of huge strategic importance to the global economy,” said EC Harris Middle East head of transportation, Tim Risbridger.
“With the demand for oil set to rise over the coming years, the business case for building new ports and improving the efficiency of existing facilities has never been more prescient,” he added.
Despite the top ranking, other areas lacked competitive advantages over the rest of the world. Citing a lack in cross-border agreements between member states, the report also found the GCC to be the 7th most attractive destination for development in transport infrastructure, with investors focussing attention elsewhere as a result.
The criteria covered a broad range of factors typically considered by various investor groups including; political and economic stability in each market, government incentives and policies on offer, and the private finance funding channels established to support inward investment.
“Recently announced plans to build modern metro infrastructures in the UAE, Qatar and Saudi Arabia demonstrate the ambition that exists within the Middle East.
“However, until a transport network is extended across the entire GCC, the region will not be able to fully capitalise on this investment. A clear example can be seen in Europe where the inter-connected rail network has helped to open up lucrative trade routes for even the smaller member countries,” Risbridger added.
You can read the full report here
