28 Jul 2018, Singapore - ASEAN, a 10-country regional bloc consisting Philippines, Indonesia, Malaysia, Thailand, Viet Nam, Cambodia, Myanmar, Singapore, Laos, and Myanmar, highlights $250 billion potential in construction, reports New Building Materials and Construction World Magazine.
From 2017 - 2021, the six countries in the ASEAN zone (Philippines, Malaysia, Thailand, Singapore and Viet Nam) are expected to grow at 7.5% in the construction sector, compared to global growth of 3% over the same period.
This growth forecast is partly buoyed by China Development Bank's $250-billion commitment and by ASEAN countries drafting 5-year plans to build infrastructure.
The Philippines tops the region in construction activity, following the development plan that coincides with the 6-year term of the country’s president, President Rodrigo Duterte.
In his 10-Point Socioeconomic Agenda, President Duterte has committed the country to public spending on infrastructure projects in the order of USD 160 billion—dwarfing the investments of his predecessors.
The 11th Malaysia Plan, which runs from 2016 to 2020 includes the development of water treatment plants, power plants, a high-speed rail project connecting Kuala Lumpur and Singapore, and a refinery and petrochemical integrated development in Johor.
As a socialist country, Vietnam regularly draws up 5-year Socio-Economic Development Plans. The latest plan guides the country through to 2021 and mandates investments in transport infrastructure, energy, utilities and affordable housing. It prescribes that the dwelling space per capita for the country’s growing population is to increase from 16.7m2 (2015) to 25.0m2 (2020), resulting in the government’s commitment to build one million houses by 2020.
Krups, Matthias (2018). “Southeast Asia Construction Market - The State of Play." Design Intelligence, March 6, 2018. https://www.di.net/articles/southeast-asia-construction-market-state-play/
Sun, Nikki (2018). “China Development Bank commits $250bn to Belt and Road.” Nikkei Asian Review, January 15, 2018. https://asia.nikkei.com/Economy/China-Development-Bank-commits-250bn-to-Belt-and-Road