Dubai’s Construction Sector is About to Pivot

Dubai’s Construction Sector is About to Pivot

Hold onto your hard hats, folks! Dubai’s construction sector is gearing up for a big change in the coming year.

2024 is set to be the year when the emirate’s focus shifts from real estate projects to public infrastructure ventures like the Dubai Metro’s Blue Line, which starts construction this year.

The Dubai government’s budget statement for 2024, highlighted this anticipated shift with The Director General promised 8% of total expenditure to construction projects.

That’s a solid AED6.328bn (estimated at £1.382bn), which sends a clear message to the private sector about Dubai’s commitment to developing its infrastructure and delivering strategic projects.

Now, this newfound enthusiasm for infrastructure doesn’t quite match the pre-pandemic levels of spending, but it’s a step in the right direction. Over the past couple of years, the Dubai government and its trusty sidekicks, the government-related entities (GREs), have been laser-focused on the real estate sector, particularly residential projects funded by off-plan sales.

The off-plan market was so hot in 2023 that hundreds of eager home buyers queued all night to buy off-plan villas on Palm Jebel Ali. This off-plan obsession helped make 2023 the best year for Dubai’s construction sector since 2017.

However, whispers of a potential slowdown in the real estate boom have started to emerge. In the last quarter of 2023, residential transactions took a dip compared to the previous year, with off-plan sales taking a significant hit.

The construction sector still has plenty of irons in the fire, with residential real estate dominating the projects in the pipeline – like the futuristic megacity Neom, Dubai’s (not to mention the world’s) grandest residential project. However, if the emirate wants to keep the construction party going, it might be time to start diversifying its project mix.

Enter the Dubai Metro’s Blue Line project, a beacon of hope amidst a sea of residential developments. With an estimated cost of $2.5bn, this project could be just what the doctor ordered to inject some much-needed variety into the construction landscape.

In conclusion, Dubai’s construction industry is poised for a metamorphosis in 2024, with a shift in focus from real estate to public infrastructure. While the residential sector is still dominant, the government’s increased spending on construction and major new infrastructure projects may help to create a more balanced and sustainable construction industry in the emirate.

It’s going to be an exciting ride, so buckle up and enjoy the journey. Get in touch to hear about opportunities!


As construction specialists, we understand the industry’s unique regulatory requirements and the complexities of keeping workers safe. Our consultants can advise on all aspects of compliance, from CDM regulations to IR35 changes.

Temporary to Permanent

Try before you buy! Convert our interim, fixed term, or contract staff to permanent hires, and pay only a pro-rata fee. With temp to perm, you can assess candidates on the job, simplify hiring, and improve cultural fit and retention.

Project- Based Hiring

Our experts can quickly source skilled contractors to meet your project timelines and goals. With short notice periods and various payment models, including CIS and limited company options, we offer the flexibility and agility you need.

Single Worker Appointments

When you need the right person fast, we offer contract, fixed term, and interim options. Fixed-term appointments are ideal for maternity cover or ad-hoc needs. Our interim staffing delivers the senior expertise you need to drive change.