Major players of the UAE's construction sector gave a mixed opinion about the prospect for 2010.
While some major contractors expressed confidence that stalled projects would restart, others said it would take another eight to twelve months for the situation to get back to 2007- 2008 levels.
This year will see a slight increase in the prices of building material prices. The leading players in the UAE construction industry are concerned that maintaining liquidity in the market is essential in 2010, and that otherwise might affect the smaller subcontractors' and suppliers' ability to continue doing business in the market.
Consolidation, restructuring and diversification of their portfolio risks will be the name of the game in the coming year, they said.
According to a recent report by Economist Intelligence Unit (EIU), lower oil production allied with slowing construction activity depressed the UAE economy in 2009. It is expected to rebound by nearly four per cent in 2010.
