Things are looking bright for Singapore’s construction industry today. Boosted by public spending many new infrastructure projects are on the way.
|Today Singapore’s overall construction industry is valued US$22 billion. With a CAGR of 4.88% the industry will be worth US$28 billion by the end of 2016. According to a new report from Timetric, infrastructure projects take up 32% of the total construction market with a total value of US$7.1 billion.
Infrastructure boosted by public sector projects
In 2012 Singapore’s government allocated US$ 373.8 million to boost the rail and road infrastructure nationwide. Most profoundly this resulted in the construction of the Marina Coastal Expressway, the Keppel Viaduct and the Downtown Line – with further transit projects in the pipeline. When the Downtown Line is fully complete by the end of 2017, it will be the longest driverless underground line in Singapore serving about half a million commuters daily.
The increased public spending will not just boost infrastructure, but will have a positive effect on all construction markets in the coming years. The residential construction market is the second largest market, expected to record a CAGR of 4.67% to a value of US$7.6 billion by the end of 2016. The industrial construction market is forecast to record a CAGR of 4.27% to a value of US$5.16 billion by the end of 2016.