A report issued by Al Mazaya Holding
Company has shown that the success of the
GCC states in the implementation of all types
and sizes of infrastructure during a period
of global economic stagnation, vindicates
decisions to push ahead with these projects,
and their usefulness in the middle and long
terms. The GCC states have worked to
reevaluate their investment priorities within
the perspective of an urgent but realistic need
to rapidly overcome the repercussions of the
global crisis with minimal costs.
vAl Mazaya report also points out that these
infrastructureprojectsareconsideredthebasic
engine for economic development in all the
countries of the region; without infrastructure,
their economies are unable to make any
progress, resulting in macroeconomic
stagnation. In fact, the development and
expansion of the real estate sector in the GCC
States are indispensable elements of the
development of infrastructure, which in turn
are the foundations for attracting investments
and investors, since real investment depends
on the development of real infrastructure.
The experiences of the GCC states show that
the private sector has played an advanced
role in the development of infrastructure
as a partner in financing and implementing
projects, in addition to bearing risk, as
opposed to governments’ sole role in this
respect in the past.
Spending On Infrastructural Projects
Dominates GCC Budgets
Mazaya Monthly Real Estate Report
October 2013
The weekly report of Al Mazaya confirmed
that the pace of activities has remained
constant for the implementation of the
infrastructural projects before, during
and since the financial crisis. The
GCC governments have leveraged the
quantitative tool of financing the projects
to stimulate the economy and inject
more capital to move the wheels of their
economies at the time of recession and
decline, especially after the damage that
took place in the vital economic sectors,
particularly the finance and real estate.
Those policies have had positive results in
maintaining the minimum of the economic
activity and achieving positive growth
rates, at the same time the majority of
countries are suffering from the stagnation
of their economies and trying to get rid of
the negative growth rates. The GCC states
are among the least affected countries and
the quickest in recovery and real growth
return, supported by a stable and upward
oil prices path in the global markets.
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