Uzbekistan Construction Market Size, Trend Analysis by Sector (Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential) and Forecast, 2023-2027

Uzbekistan Construction Market Size, Trend Analysis by Sector (Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential) and Forecast, 2023-2027

Summary

GlobalData expects Uzbekistan’s construction industry’s growth to be positive in 2023, but the pace of growth will slow to 4.1% in real terms from 6.6% in 2022, owing to the slower expansion in housing, infrastructure, and manufacturing plants. According to the State Committee of the Republic of Uzbekistan on Statistics, the construction work on buildings in the country fell by 9.2% year on year (YoY) in the first two months of 2023, preceded by an annual growth of 21.4% in 2022. Moreover, there remains downside risks to the sector stemming from Western sanctions on Russia, with the EU and US intensifying efforts to restrict Russia importing Western goods through the Central Asia ‘back door’. Furthermore, Uzbekistan’s construction industry has been impacted by surging energy costs and material shortages stemming from the conflict in Ukraine, which, notwithstanding a partial easing of supply-side challenges, will continue to weigh on construction activity this year.

GlobalData expects the construction industry to register an annual average growth of 4.9% between 2024 and 2027, supported by investment in infrastructure, commercial, renewable energy and residential projects through the New Uzbekistan Development Strategy for 2022-26. Under this strategy, the government plans to achieve 25% of electricity generated from renewables by 2030. Hydropower capacity will increase from 200MW in 2022 to 700MW by 2026, wind energy from zero in 2022 to 400MW in 2026. Moreover, solar capacity will jump from just over 200MW in 2022 to 4,000MW by 2026. The country is also aiming to reduce greenhouse gas emissions by 35% by the end of 2030 compared to the levels of 2010 and achieve carbon neutrality by 2050. In a bid to develop the transport network, the government will construct the 295km Samarkand-Tashkent Toll Road in the country from 2025 with an investment of UZS22 trillion ($1.9 billion). For this project, the European Bank for Reconstruction and Development (EBRD) is responsible for attracting foreign investors. In May 2022, the World Bank endorsed Uzbekistan’s Country Partnership Framework (CPF) to help the country to build a sustainable market economy by 2026. The framework focuses on increasing inclusive private sector employment, improving human capital, and improving the livelihoods of residents.

This report provides detailed market analysis, information, and insights into Uzbekistan’s construction industry, including -

• Uzbekistan’s construction industry's growth prospects by market, project type and construction activity
• Critical insight into the impact of industry trends and issues, as well as an analysis of key risks and opportunities in Uzbekistan’s construction industry
• Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline.

Scope

This report provides a comprehensive analysis of the construction industry in Uzbekistan. It provides -

• Historical (2018-2022) and forecast (2023-2027) valuations of the construction industry in Uzbekistan, featuring details of key growth drivers.
• Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
• Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
• Listings of major projects, in addition to details of leading contractors and consultants

Reasons to Buy

• Identify and evaluate market opportunities using GlobalData's standardized valuation and forecasting methodologies.
• Assess market growth potential at a micro-level with over 600 time-series data forecasts.
• Understand the latest industry and market trends.
• Formulate and validate strategy using GlobalData's critical and actionable insight.
• Assess business risks, including cost, regulatory and competitive pressures.
• Evaluate competitive risk and success factors.