Competitive Scenario

The competitive scenario of the Salini-Impregilo Group is represented by the global market for investment in the construction sector with specific reference to that of large complex infrastructures.

The global economy has picked up steadily since the end of 2016. Based on the IMF’s most recent estimates (January 2018), international growth should increase to 3.7% and 3.9% in 2017 and 2018 respectively.

According to the IHS Markit report of October 2017, global infrastructure investments increased by 3.3% in 2016, boosted by the transportation sector which saw growth of 5%. The respective growth rates are forecast to be 4% and 5% for 2017 and 2018, after the roll-out of several projects that had been delayed in previous years. Over the next five years, infrastructure investments should increase by a compound average growth rate (CAGR) of 5%.

The US economy continues to grow with positive development prospects. According to the IMF’s January 2018 estimates, its growth is forecast at 2.3% and 2.7% in 2017 and 2018, respectively, which is better than the IMF’s previous estimates published in October 2017.

The US market’s expected demand for infrastructure by 2015 will reach USD4.6 trillion. At the start of the year, the government relaunched an infrastructure investment plan worth USD1.5 trillion. We are certain that we will be able to significantly contribute to this investment plan, for example, with regard to maintenance activities to be carried out on 15,500 high-risk dams, and for the 56,000 bridges that are currently in a poor structural condition.

The IHS Markit forecasts the continued recovery of the construction sector in Western Europe bolstered by the tax measures encouraging investments in infrastructure.

The expected annual growth rate is 2% for 2017 and 2018. This rate is expected to be one of the highest for the next five years in the Asia Pacific area with a CAGR of 6%. The entire region will benefit from China’s Belt & Road project which includes the construction of a network of high speed railways, motorways and sea ports to connect China with another 64 states.

Investments in infrastructure in Africa and the Middle East are forecast to increase by 4% in 2018, mainly in Egypt and Qatar where double-digit growth is expected over the next five years. The HIS Markit reports a 4% drop in infrastructure spending in South America in 2017. Specifically, the decrease in investments in infrastructure has been estimated at 6% for Brazil, although growth is forecast for the next two years (3% and 5% for 2018 and 2019, respectively).

Last update: 13/07/2018