Fewer African Mega Projects In 2014, But They’re Worth More

Fewer African Mega Projects In 2014, But They’re Worth More

Heavy investment in power, energy and transportation led to a 46-percent increase in investment in African mega projects in 2014, according to financial advisory firm Deloitte’s African Construction Trends Report.

The number of projects valued at $50-million plus fell from 322 to 257, but the total value of projects under construction as of June 1 increased from $222.77-billion in 2013 to $326 billion in 2014, Deloitte reports.

Southern Africa accounted for half of Africa’s construction load. South Africa had half the projects in the Southern Africa region, followed by Mozambique with 15 percent and Angola with 13 percent. Australia and India entered the project ownership database in 2014.

Of the 257 projects listed in the 2014 Deloitte African Construction Trends Report, 26 were public-private partnerships; 88 were private-sector projects and 143 were public-sector projects, according to SouthAfrica.info.

Energy and power accounted for 37 percent of the mega projects that broke ground in Africa in 2014, followed by transport (34 percent), mining (9 percent), property (6 percent ), water (5 percent), oil and gas (4 percent), mixed-use facilities (2 percent) and health care (1 percent), according to Deloitte.

So where did the money go?

North Africa got eight projects worth $9 116 million, Deloitte reports.
West Africa got 66 projects worth $74 835 million.
Central Africa got 13 projects worth $33 205 million.
Southern Africa got 119 projects worth 144 888 million.
East Africa got 51 projects worth $60 671 million.