Growth of Modular Construction in Middle East and Africa

Rapid urbanization and population growth have created an urgent need for efficient building solutions, particularly in areas facing housing shortages. Governments across the region are embracing modular construction to speed up affordable housing delivery and infrastructure development. The region's harsh climate has also pushed construction firms toward modular solutions, which offer better thermal insulation and durability compared to traditional methods.

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Healthcare and education sectors are increasingly turning to modular construction for rapid facility expansion. The flexibility to scale quickly during emergencies or sudden demand increases has made modular solutions particularly valuable in these sectors. Despite challenges like initial costs and skilled labor shortages, the long-term benefits continue to attract investment.

The market shows promising growth potential, supported by government initiatives and increasing awareness of modular construction benefits. Saudi Arabia's planned $175 billion annual investment in industrial and mega projects between 2025 and 2028, including developments like NEOM, signals strong future demand for modular construction solutions in the region. ^[?]