Construction prospects for Africa in a global context

Construction will outpace world GDP growth in the next decade as Asian markets continue to develop rapidly and the US registers a sharp cyclical recovery. Global construction can be expected to grow by 67 per cent from US$7.2 trillion today to US$12 trillion in 2020 (in 2010 prices and exchange rates). Growth in China, India and the US is forecast to generate 54 per cent of the US$4.8 trillion increase in global construction output. A total of US$97.7 trillion will be spent on construction globally during the next decade and by 2020 construction will account for 13.2 per cent of world GDP. This resumption of growth will be marked by an acceleration of changes that were taking place before the financial crisis. The next decade will see a continuing shift towards Asia and other emerging markets where rising populations, rapid urbanisation and strong economic growth are drivers for construction. However, sub-Saharan Africa (SSA) offers key growth sectors for construction in energy, transport, water and telecommunications.