Construction Risk Trends – Risks and Opportunities
The global construction market is forecast for a sustained period of strong growth, driven by an expected increase in public spending on infrastructure and the transition to net zero. However, the shift to sustainable energy and the adoption of modern construction methods will transform the risk landscape, with sweeping changes in design, materials and construction processes.
The global construction industry is about to enter a period of sustained growth, driven by the needs of a growing global population and the transition to a more sustainable world. According to a recent report by , the global construction industry is expected to grow 42% to $ 15 billion by 2030. The construction industry is expected to be a major engine of economic growth over the next decade, surpassing manufacturing and Services.
The positive growth outlook rests on a number of factors. Rising populations in emerging markets, urbanization and increasing working age population are expected to drive the need for new housing, infrastructure and workplaces. The transition to a low-carbon or net-zero economy will require significant investments in alternative forms of energy, such as wind, solar and hydrogen, as well as in storage, transmission and electricity support. According to the International Energy Agency () , the pursuit of net zero would create a market for wind turbines, solar panels, lithium-ion batteries, electrolysers and fuel cells of well over $ 1 billion per year by 2050, comparable in size to the market current tanker.