Sub-Saharan Africa will have the fastest-growing construction industry among all major regions in the world over the next five years, growing on average by a compound annual growth rate of 6.6% a year from 2018 to 2022.
According to GlobalData, a leading data and analytics company, total global construction output is forecast to rise to US$12.9 trillion by 2022, up from US$10.8 trillion in 2017.
The company’s recent report says regionally, Africa will become a major player in global construction over the next five years.
There will be a steady acceleration in construction activity in Nigeria over the forecast period, supported by government efforts to revitalise the economy by focusing on developing the country’s infrastructure.
However, Ethiopia will be Africa’s star performer, where its construction industry will continue to grow in line with the country’s economic expansion.
The outlook for Tanzania remains positive, with construction growth anticipated to stand at over 9% in 2018–19.
The fast pace of growth there can be attributed to the construction of commercial and residential buildings, and ongoing infrastructure construction projects, including the Standard Gauge Railway and the expansion of Mwanza International Airport.