Central America Infrastructure Report

Published 26 March 2015

  • 96 pages
  • Instant access to your report online and PDF format through your account library
  • Includes 3 free updated quarterly reports
 
$1,295.00
Central America Infrastructure Report

BMI View: We currently forecast an average of 2.3 % real growth in Central America's construction industry value for 201 5 , which is considerably higher than our regional average estimate for 2014 at 0.4% . We expect Honduras, El Salvador and N icaragua's construction industries to return to positive growth in 2015 while Panama's will contract, as the completion of the Canal expansion nears its end.

We see high risks, small scale and limited growth opportunities across the region as a whole. A crucial factor underpinning our forecasts for infrastructure investments in future years is political and security risk. This is a particular concern in El Salvador, Honduras, and Guatemala where high levels of crime, homicide, violence, and insecurity exacerbate operational risks for companies willing to invest in those countries. As such, we believe that local and regional companies (especially Mexican and Brazilian), as well as Chinese players which have a stronger appetite for risk, are best placed to benefit from the opportunities on offer in the region. In this context, we also highlight Spanish companies which have an established presence in Central America.

Despite the small size of their construction industries, Central American countries present a wide range of small-scale opportunities (albeit the inter-oceanic canal projects) as the region aims to bridge its infrastructure gap. However, these markets are faced by strong challenges in the form of deep-run corruption, high levels of inequality, and unsophisticated institutions.

Public-Private Partnerships:

A number of countries in the region are pursuing public-private partnerships (PPPs) to develop infrastructure. For example, Guatemala - which established a PPP agency in November 2011 - is hoping to launch its first concession for Line 1 of the Guatemala City passenger railway in H115. In December 2014, Honduras' PPP promotion agency, Coalianza, announced a new tender to be launched for construction and...

Continue reading more

Table of Contents

BMI Industry View
7
SWOT
8
Infrastructure SWOT
8
Industry Forecast
10
Construction And Infrastructure Forecast Scenario
10
Table: Central America - Construction And Infrastructure Industry Data, 2012-2017
10
Table: Central America - Construction And Infrastructure Long Term Forecasts, 2018-2023
12
Construction And Infrastructure Forecast Scenario
15
Transport Infrastructure - Outlook And Overview
23
Major Projects Table - Transport
30
Table: Major Projects - Transport
30
Energy And Utilities Infrastructure - Outlook And Overview
36
Energy And Utilities Infrastructure Outlook and Overview
36
Table: SIEPAC Details
44
Major Projects Table - Energy & Utilities
45
Table: Major Projects - Energy & Utilities
45
Residential/Non-Residential Building - Outlook And Overview
51
Residential/Non-Residential Building Outlook and Overview
51
Major Projects Table - Residential/Non-Residential Construction And Social Infrastructure
56
Table: Major Projects - Construction And Social Infrastructure
56
Industry Risk/Reward Ratings
59
Central America - Infrastructure Risk/Reward Ratings
59
Rewards
59
Risks
60
Latin America - Infrastructure Risk/Reward Ratings
61
Table: Latin America Infrastructure Risk/Reward Ratings
67
Market Overview
68
Competitive Landscape
68
Company Profile
72
Constructora MECO (Costa Rica)
72
Global Industry Overview
75
Global Infrastructure Overview
75
Methodology
81
Industry Forecast Methodology
81
Sector-Specific Methodology
82
Risk/Reward Rating Methodology
86
Sector-Specific Methodology
87
Table: Infrastructure Risk/Reward Rating Indicators
87
Table: Weighting Of Indicators
88

The Central America Infrastructure Report features BMI Research's market assessment and forecasts covering public procurement and spending on all major infrastructure and construction projects, including transportation and logistics by land, sea and air; power plants and utilities, and commercial construction and property development. The report analyses the impact of regulatory changes and the macroeconomic outlook and features competitive intelligence on contractors and suppliers.

BMI's Central America Infrastructure Report provides industry professionals and strategists, sector analysts, investors, trade associations and regulatory bodies with independent forecasts and competitive intelligence on the Panamanian, Guatemalan, Nicaraguan, Salvadoran, Costa Rican, Belizean, Honduran infrastructure and construction industry.

Key Benefits

  • Benchmark BMI's independent infrastructure industry forecasts for Panama, Guatemala, Nicaragua, El Salvador, Costa Rica, Belize, Honduras to test other views - a key input for successful budgetary and planning in the Panamanian, Guatemalan, Nicaraguan, Salvadoran, Costa Rican, Belizean, Honduran infrastructure market.
  • Target business opportunities and risks in the Panamanian, Guatemalan, Nicaraguan, Salvadoran, Costa Rican, Belizean, Honduran infrastructure sector through our reviews of latest industry trends, regulatory changes and major deals, projects and investments in Panama, Guatemala, Nicaragua, El Salvador, Costa Rica, Belize, Honduras.
  • Assess the activities, strategy and market position of your competitors, partners and clients via our Company Profiles (inc. SWOTs, KPIs and latest activity).

Coverage

BMI Industry View

Summary of BMI’s key industry forecasts, views and trend analysis covering infrastructure and construction, regulatory changes, major investments and projects and significant national and multinational company developments. These are broken down into construction (social, commercial and residential), transport (roads, railways, ports, airports, etc), and energy & utilities (powerplants, pipelines and so on).

Industry SWOT Analysis

Analysis of the major strengths, weaknesses, opportunities and threats within the infrastructure and construction sectors and within the broader political, economic and business environment.

BMI Industry Forecasts

Historic data series (up to 2012) and forecasts to end-2024 for all key industry indicators, supported by explicit assumptions, plus analysis of key developments in the market and risks to the main forecasts. Indicators include:

Construction: Industry value (USDbn); contribution to GDP (%); total capital investment (USDbn); real growth (%).

Construction industry real growth forecasts (%) and industry value (USDbn) forecasts for industry sectors are split into Residential and Non-residential and Infrastructure sectors. Where the data is available for particular countries the infrastructure is further broken down into indicators for the transport subsectors of roads, railways, airports and ports and the energy and utilities sub-sectors of power plants and transmission grids, oil & gas pipelines and water infrastructure. This dataset is unique to the market.

The reports also include analysis of latest projects across the infrastructure sectors (transport, utilities, commercial construction).

BMI’s Infrastructure Risk Reward Index

BMI’s Risk Reward Index provides investors (construction companies, suppliers and partners) looking for opportunities in the region with a clear country-comparative assessment of a market’s risks and potential rewards. Each of the country markets are scored using a sophisticated model that includes more than 40 industry, economic and  demographic data points. These provide indices of highest to lowest appeal to investors, with each position explained.

Market Overview

An assessment of the competitive landscape and key challenges to entering the market. Details of the largest companies active in the sector across the sub-segments of the industry, including the key financial figures from some of the largest players in the sector.

Company Profiles*

Examines the competitive positioning and short- to medium-term business strategies of key industry players. Strategy is examined within the context of BMI’s industry forecasts, our macroeconomic views and our understanding of the wider competitive landscape to generate company SWOT analyses. The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.

Sources

The Infrastructure reports draw on an extensive network of primary sources, such as multilateral organisations, government departments, industry associations, chambers and company reports.

*Company profiles are not available for every country. Those reports instead contain information on the current activities of prominent companies operating in the market.

secure
Benefit from discounts when you add multiple products to your basket
2 Products SAVE 10%
3 Products SAVE 15%
4 Products SAVE 20%
5 Products SAVE 25%
6 Products SAVE 30%
7 - 20 Products SAVE 35%
21 Products or more SAVE 40%

Testimonials

'An essential, multi-faceted research tool. BMI’s thorough understanding of the major market players enables an informed – and informative – review of the sector’s actual performance, together with useful insights into current industry issues, which are topped-off with detailed and invaluable forecasts of industry and macroeconomic trends.’

Senior Research Analyst, ABC International Bank plc