Opportunities for Investment in Light Rail Systems in GCC Countries

Almost every country in the Gulf Cooperation Council (GCC) region has plans to develop rail transport. Plans to develop fully integrated networks enabling seamless cross-border freight transport to facilitate trade with European and Asian markets will reflect the region’s growing global importance to world trade. Massive investment in infrastructure across the region has been announced in the past 12 months, with rail projects of particular prominence.

Major cities in the region are particularly keen to develop metro or light rail transport systems in response to growing populations, congestion and environmental concerns, to attract residents away from dependence on private motoring and subsidised fuel.

In the United Arab Emirates, the Dubai Metro System will be the first light rail system to be completed in the region, and will be the longest fully automated transport system in the world. Over the next ten years it is expected to generate revenues of $4.6m.

Abu Dhabi has plans for a 131 km metro system, and Saudi Arabia is planning systems in its capital Riyadh and holy city Mecca.

Qatar is developing plans for a metro system in Doha; Kuwait, Bahrain and Oman also have plans for light transport systems.

These projects present significant opportunities for investment in the region.