According to Malaysia Construction Industry Report 2024-2033, CAGR of 6.6% forecast from 2024 through 2033, reaching an estimated market size of 67.3 billion USD in 2033. The construction market in the South-East Asia region is expected to grow at a CAGR of 4.9% during 2023-2027. Investors are turning to view Asia-Pacific as a land of opportunity. In the APAC region, construction holds the key to economic recovery due to its potential for job creation, with some market observers suggesting that on a regional level, the construction industry might reach 313 billion USD by 2024. Hong Leong Investment Bank (HLIB), expects further developments on civil packages for the Mass Rapid Transit 3 (MRT3), Kuala Lumpur to Singapore high-speed rail and Johor LRT (RM20bil). The ‘Budget-2024’, the Malaysian government intends to roll out several mega projects like Pan Borneo Sabah Phase 1B worth (RM15.7bil), Flood Mitigation packages (RM11.8bil), Penang Light Rail Transit (LRT/RM10bil), Sabah-Sarawak Link Road (RM7.4bil), LRT 3 reinstatement (RM4.7bil), and the 5G rollout project (RM100mil). These projects form part of Malaysia’s 2024 budgeted development expenditure in total of 19 billion USD.

However, rapid growth is not without challenges as construction projects around the world rely heavily on long supply chains, equipment, building materials, and labours. A disruption to any link in that chain can result in delay and rising costs, and the way parties approach risk allocation. Although it has been nearly three years since the onset of Covid-19, the exact long-term impact remains difficult to quantify, especially concerning international construction projects where the effects are expected to be substantial. According to early assessments by the World Bank, approximately 256 development projects in emerging economies have experienced disruptions or cancellations due to the pandemic. Consequently, project stakeholders are engaged in ongoing disputes over the resulting financial implications. In Malaysia, the construction industry has estimated a loss of RM42 billion during the implementation of the Movement Control Order (MCO), reflecting the widespread economic impact of the pandemic.

Thus, embracing Integrated Project Delivery (IPD) is a transformative move for companies, fostering collaboration and goal alignment among stakeholders, from owners and architects to contractors. IPD isn’t merely a solution, it’s an invaluable asset that can prevent costly rework and delays. Join us at the ‘Integrated Project Delivery Summit, by Trueventus, and delve into exclusive insights shared by industry pioneers who have successfully navigated this dynamic terrain. Equip yourself with essential tools to thrive in this rapidly evolving sector and capitalize on unparalleled networking opportunities with both local and international professionals. Seize the opportunity to join the ranks of the elite, establishing connections, and gaining a competitive advantage.