Africa Construction Market by Type (Renovation, and New Construction), and by Sector (Real Estate, Commercial, Infrastructure, Water and Wastewater, Energy, Telecommunication, Industrial) – Industry Trends and Forecast, 2025–2030
Industry: Construction & Manufacturing | Publish Date: 13-Jun-2025 | No of Pages: 100 | No. of Tables: 123 | No. of Figures: 68 | Format: PDF | Report Code : CM2227
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Industry Overview
The Africa Construction Market size was valued at USD 219.66 billion in 2024, and is predicted to reach USD 232.08 billion by the end of 2025. The industry is predicted to reach USD 239.99 billion by the end of 2030, at a CAGR of 0.7% from 2025 to 2030.
The growing digital transformation in the African construction market, along with the increasing adoption of Building Information Modeling (BIM), is driving significant growth in the sector. BIM empowers stakeholders to digitally design, manage, and simulate building infrastructure, improving project accuracy, reducing errors, and enhancing team coordination. This technology has become crucial for boosting productivity, minimizing delays, and optimizing resource usage in construction projects.
A notable example of this shift is the launch of Allplan 2024 by ALLPLAN in April 2024, which enhances BIM capabilities and cloud-based workflows, further accelerating the transition to digital project delivery. Additionally, the convergence of BIM with emerging technologies such as artificial intelligence (AI), the Internet of Things (IoT), and cloud computing facilitates real-time data sharing, predictive maintenance, and enhanced facility management. These developments underscore the ongoing evolution of the construction industry, positioning digitalization as a key driver of future growth.
Surge in Construction Projects Driving the Africa Construction Market Growth
The African region, including Nigeria, Kenya, and Ghana, is experiencing a surge in infrastructure projects to drive the increase in the Africa construction market demand. In Nigeria, investments are significantly contributing to the sector's growth.
According to the African Development Bank, infrastructure investments in Nigeria reached USD 1.44 billion in 2024, with a focus on energy and power, transport, water, and sanitation infrastructure.
The energy sector and road transport are key areas of development, with projects like the Rural Access Agricultural Marketing Project- Scale Up receiving USD 600 million, USD 500 million from the World Bank and USD 100 million from the Nigerian government to improve rural road networks.
Additionally, Africa accounts for a substantial share of renewable energy potential, with ongoing investments in solar, wind, and geothermal projects, such as Kenya’s Lake Turkana Wind Power Project. These developments are positioning Africa as a critical region for infrastructure-led growth and sustainable development
Major Engineering Projects Driving Growth in the Region's Construction Sector
The infrastructure sector is witnessing significant growth in Kenya driven by increased investments in large-scale engineering and megaprojects. Major developments include the Lamu Port-South Sudan-Ethiopia Transport (LAPSSET) Corridor, with the first three berths at Lamu Port completed and operational, and ongoing road works such as the Lamu-Garissa-Isiolo section.
Key dam projects like Thwake Dam in Makueni and Kitui, Karimenu Dam in Gatundu, and Thiba Dam in Kirinyaga are under construction to support water supply and hydropower needs. Urban developments such as Tatu City in Ruiru and Konza Technology City in Machakos are progressing, although Konza is experiencing delays.
The Nairobi-Mombasa Expressway is currently in the feasibility stage, with construction expected in 2026, while the Kenol-Isiolo Road is advancing, including the active Kenol-Marua segment. The Turkana-Lamu Pipeline remains in the planning phase as part of the broader LAPSSET Corridor. These projects collectively reflect the ongoing expansion and modernization of Kenya’s construction industry.
Regulatory Complexities Hinders the Africa Construction Market Expansion
Navigating regulatory complexities presents a significant challenge in the Africa construction market. Infrastructure projects face hurdles due to the intricate network of government regulations and permitting procedures. Infrastructure initiatives require numerous permits and approvals from governmental bodies at local, regional, and national levels in the infrastructure market These mandates include adherence to zoning regulations, environmental assessments, compliance with building codes, safety standards, and various other regulatory requirements.
Lengthy permit acquisition processes, bureaucratic inefficiencies, and regulatory disparities among different jurisdictions significantly prolong project timelines and inflate costs. Moreover, fluctuations in regulations or unexpected policy changes disrupts ongoing projects and deter potential investments.
The Integration of Digitalization and Building Information Modeling (BIM) Creates Opportunities for the Market
The growing digital transformation in the construction industry, along with the increasing adoption of Building Information Modeling (BIM), presents a significant market opportunity driving sector growth. BIM allows stakeholders to digitally design, manage, and simulate building infrastructure, which enhances project accuracy, reduces errors, and improves team coordination. This technology has become essential for boosting productivity, minimizing delays, and optimizing resource utilization in construction projects.
A key example of this shift is the launch of Allplan 2024 by ALLPLAN in April 2024, which strengthens BIM capabilities and cloud-based workflows, reflecting the ongoing move toward digital project delivery. The integration of BIM with emerging technologies such as artificial intelligence (AI), the Internet of Things (IoT), and cloud computing further enables real-time data sharing, predictive maintenance, and improved facility management.
Competitive Landscape
The key players operating in the Africa construction industry include China Communications Construction Company (CCCC), China Railway Construction Corporation (CRCC), Vinci Construction, Bouygues Construction, Concor Construction (Pty) Ltd, Mota-Engil Africa, Aveng Grinaker-LTA, Murray And Roberts Construction, WK Construction, Hillary Construction Group, Fikile Construction, Tau Pele Construction, B. Stabilini and Company Limited, Tri-Star Construction, African Land.
Africa Construction Market Key Segments
By Type
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Renovation
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New Construction
By Sector
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Real Estate
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Residential
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Affordable
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Luxury
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-
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Commercial
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Retail Buildings
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Office Buildings
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Hospitality
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Healthcare Facilities
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Educational Institutes
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Entertainment Ventures
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Infrastructure
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Transportation
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Airport
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Port
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Rail
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Road
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-
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Water and Wastewater
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Energy
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Telecommunication
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Industrial
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Manufacturing Plant
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Warehouses
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Power Plants
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Oil Refineries
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Chemical Plants
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By Country
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South Africa
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Nigeria
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Kenya
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Egypt
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Morocco
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Ghana
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Other Countries
Key Players
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China Communications Construction Company (CCCC)
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China Railway Construction Corporation (CRCC)
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Vinci Construction
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Bouygues Construction
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Concor Construction (Pty) Ltd
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Mota-Engil Africa
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Aveng Grinaker-LTA
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Murray And Roberts Construction
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WK Construction
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Hillary Construction Group
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Fikile Construction
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Tau Pele Construction
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B. Stabilini and Company Limited
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Tri-Star Construction
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African Land
REPORT SCOPE AND SEGMENTATION:
|
Parameters |
Details |
|
Market Size in 2024 |
USD 219.66 Billion |
|
Revenue Forecast in 2030 |
USD 239.99 Billion |
|
Growth Rate |
CAGR of 0.7% from 2025 to 2030 |
|
Analysis Period |
2024–2030 |
|
Base Year Considered |
2024 |
|
Forecast Period |
2025–2030 |
|
Market Size Estimation |
Billion (USD) |
|
Growth Factors |
|
|
Companies Profiled |
15 |
|
Market Share |
Available for 10 companies |
|
Customization Scope |
Free customization (equivalent up to 80 working hours of analysts) after purchase. Addition or alteration to country, regional, and segment scope. |
|
Pricing and Purchase Options |
Avail customized purchase options to meet your exact research needs. |
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