GCC, Egypt, Jordan GDP to top $1 trillion
Posted on April 30, 2008 in (Category: )
GCC, Egypt, Jordan GDP to top $1 trillion
The combined GDP of the GCC economies, together with Egypt and Jordan, will cross $1,045 billion in 2008, thereby sustaining the region’s demand for white goods and consumer electronics, according to an industry research.
The strong growth of Middle East economies at a rate of 6.5 per cent annually is fueled mainly by the continuing high oil prices.
“The strong economic growth is also intensified by the real estate boom across countries in the Middle East that continues unabated and translates into huge opportunity for appliance manufacturers,” said Eckhard Pruy, CEO of Epoc Messe Frankfurt, organisers of International CES/hometech.
“In the Gulf Cooperation Council (GCC) countries, investment spending will expand to at least $800 billion over the next five years, with major projects in the oil and gas sectors, infrastructure, and real estate,” he said.
Morgan Stanley estimates that GDP for the GCC plus Egypt and Jordan will reach $1,045 billion in 2008, more than twice the 2002 figure of $484 billion.
“Industry estimates reveal that, due to the unabated growth in real estate development and spending across the Middle East, the volume of new office space in Dubai will increase from 1.6 million sq m presently to 5.6 million sq m in 2009,’ said Mehtap Kenar, senior show manager, International CES/hometech.
“Construction of huge new megamalls and expansion of the current megamalls are also planned. Similarly, in Doha, capital and port city in Qatar, more than 16,000 new apartments will be available by 2010, while retail space availability is also set to increase - from 450,000 to 1.13 million sq m between 2007 and 2012. Riyadh is also witnessing huge investments in retail space,” he said.
Pruy noted that: “Given the urge to splurge in the region appliance manufacturers can expect to boost their sales volumes in 2008.”
International CES/hometech Middle East, to be held from May 25-27,2008 at the Dubai International Convention and Exhibition Centre, is a successful platform for the Gulf states, the wider Middle East, North and East Africa, the CIS and the Indian Subcontinent, to source the latest in home technology, home entertainment, home automation, home appliances and domestic devices.
The UAE and Dubai in particular, is among the leading markets for consumer electronics products in the Middle East. Dubai also features as the prime distribution centre for regional electronics sales. Industry analysts believe the surge in sales of electronics products in and through Dubai is due to competitive prices. With diversification of import sources and introduction of new products, huge demand in the Middle East has arisen, giving a new dimension to the scale of supply required.
At International CES/hometech in 2008, professionals will witness the latest trends in home networking, wireless and mobile technology, audio technology, home entertainment, gaming, home appliances and ‘In-car’ technology. Industry experts believe that the prolific product profile of the event will mark it as the most important technology event of the Middle East. The exhibition area on which participants will exchange information and opinions on technologies in IT and consumer electronics will double compared to last year.