Africa Construction Trends Report 2017
A shift to more but less
We are pleased to release the 2017 edition of the Africa Construction Trends (ACT) report.
This report highlights who holds, finances and builds major infrastructure projects in Africa.
We briefly presente the main conclusions disclosed in the study:
- Between 2016 and 2017 there was a 5.9% increase in the number of projects, while the investment value decreased by 5.2%, fixating at 307 billion dollars.
- The region of Southern Africa accounted for the largest number of projects (93), while the West African region set the most valuable ones (total of 98.3 billion dollars).
- Although the number of projects in this region increased, their value decreased from 93.5 to 89.7 billion dollars (4.1%), a result influenced by the suspension of construction of the Lobito refinery in Angola.
- Most of the construction projects in this region are located in South Africa (47%), Angola (14%) and Mozambique (13%).
Transport and real estate sectors dominate
- The transport sector accounted for the largest number of construction projects in Africa (36%), followed by real estate (22%) and energy (19%).
- Although the percentage of projects in the oil and gas sector remained low (4%), it stands out as the most valuable, representing 25% of the total value (76.9 billion dollars) of the continent.
- In Southern Africa region, the real estate sector was the one with the largest number of projects (29%) in 2017, followed by the energy sector (25%).
Governments with participation in most projects
- African governments continue to be responsible for promoting the majority of construction projects in Africa (73%), but also the most funded entities (27%).
- In the particular case of Southern Africa, there is the same trend as in the rest of the continent.
China affirms itself as major builder on the African continent
- In 2017, China gained relevance in the African construction landscape by executing 85 of the 303 projects (28%).
- Private domestic companies were responsible for construction of 22% and "other Asian countries" for 7%.