BRI: GCC paves a smooth road for Chinese firms – ZAWYA

BRI: GCC paves a smooth road for Chinese firms – ZAWYA

Chinese firms should be well-prepared to tackle the challenges and risks associated with big construction and real estate projects in the Gulf region under the Belt and Road Initiative (BRI).. 18 February 2020New investment opportunities are emerging for Chinese firms in the Gulf Cooperation Council (GCC) as member countries explore alternative means to finance construction and real estate (CRE) projects.. Most GCC countries are enacting PPP laws and embarking on initial projects, which could be an attractive opportunity for Chinese State-Owned Entities (SOEs) with access to export credit guarantee schemes and financing, she said.. To capitalise on the regional opportunities, Mei said, Chinese companies need to understand local development strategies and government initiatives, such as the Saudi Vision 2030 or the Kuwait National Development Plan 2035 (KNDP).. Mei agreed that specialisation and sophistication would be a key factor for developers, particularly in markets like Dubai, where the development market is maturing but slowing down with decreasing property prices, the recent halt on Al Maktoum Airport construction and government calls for fewer new developments.. "Focusing on local needs and local engagement as well as understanding Chinese policy and interest will help mitigate risks and timely execution of projects," said Suri, adding