Market Size of Bangladesh Construction Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 32.33 Billion |
| Market Size (2029) | USD 44.13 Billion |
| CAGR (2024 - 2029) | 6.42 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Bangladesh Construction Market Analysis
The Bangladesh Construction Market size is estimated at USD 32.33 billion in 2024, and is expected to reach USD 44.13 billion by 2029, growing at a CAGR of 6.42% during the forecast period (2024-2029).
Infrastructure development (both large-scale and small-scale) and urbanization are the main drivers of the construction sector, which accounts for nearly 8% of GDP growth and 4% of GDP growth, respectively. This growth in demand for raw materials increases the demand for steel and cement products.
Infrastructure construction is projected to be in good shape over the next 5 years as the government aims to increase investment in transportation infrastructure through PPPs to boost the country’s economy. To meet the growing electricity demand, the country will invest in power infrastructure to support forecast-period generation in the power and utility sectors. The country’s electricity demand is estimated to be 40 GW by 2030, and the government plans to invest USD 70 billion in this sector by 2035.
In addition, Bangladesh is set to inaugurate three infrastructure projects in September to be funded by India. The projects are a 660 MW super thermal power plant, a 2nd unit of Rampal Power Plant in southwest Bangladesh, as well as two railway lines, the 65 km Khulna - Mongla Port railway link and the 65 km Akhaura - Agartala railway link.
Bangladesh Construction Industry Segmentation
Building construction refers to the process of constructing structures on real property. Most building construction projects involve small renovations, like adding a room to a house or remodeling a bathroom. In most cases, the property owner acts as a contractor, vendor, and designer for the entire project.
The report provides a comprehensive background analysis of the Bangladesh Construction market, covering the current market trends, restraints, technological updates, and detailed information on various segments and the industry's competitive landscape. Additionally, the COVID-19 impact has been incorporated and considered during the study.
The Bangladesh construction market report covers the top construction companies and is segmented by sector (residential, commercial, industrial, infrastructure (transportation), and energy and utilities).
The report offers market size and forecasts for the market in value (USD) for all the above segments.
| By Sector | |
| Residential | |
| Commercial | |
| Industrial | |
| Infrastruture (Transportation) | |
| Energy and Utilities |
Bangladesh Construction Market Size Summary
The construction industry in Bangladesh is experiencing significant growth, driven by infrastructure development and urbanization, which are key contributors to the country's GDP. The sector is poised for expansion, supported by government initiatives to enhance transportation and power infrastructure through public-private partnerships. This growth is further bolstered by the construction of megaprojects, such as the Padma Bridge and various power plants, which aim to establish a robust communication network and meet the increasing electricity demand. Despite challenges posed by the COVID-19 pandemic, the industry has resumed its development trajectory, with substantial investments planned in the coming years.
The real estate market in Bangladesh is becoming an integral part of the national economy, contributing significantly to GDP and providing numerous job opportunities. The sector is witnessing a shift in interest towards areas surrounding Dhaka, where land prices are rising rapidly. This trend is expected to continue, driven by ongoing economic growth and increased demand for residential properties in metropolitan areas. The construction market is fragmented, with major players like Western Engineering and Mir Akhter Hossain Limited leading the charge, while also offering opportunities for smaller and medium-sized enterprises to capitalize on the government's increasing investments in infrastructure projects.
Bangladesh Construction Market Size - Table of Contents
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1. MARKET INSIGHTS AND DYNAMICS
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1.1 Market Overview
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1.2 Market Dynamics
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1.2.1 Drivers
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1.2.1.1 Rapid Urbanization is driving the market
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1.2.1.2 Government Initiatives Actively promoting the Construction Activities
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1.2.2 Restraints
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1.2.2.1 Limited Infrastructure
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1.2.2.2 Shortage of Skilled Labours
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1.2.3 Opportunities
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1.2.3.1 Foreign Direct Investments In Industries
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1.3 Value Chain / Supply Chain Analysis
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1.4 Industry Attractiveness - Porter's Five Forces Analysis
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1.4.1 Bargaining Power of Suppliers
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1.4.2 Bargaining Power of Buyers/Consumers
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1.4.3 Threat of New Entrants
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1.4.4 Threat of Substitute Products
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1.4.5 Intensity of Competitive Rivalry
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1.5 Technological Innovations in the Construction Sector
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1.6 Impact of Government Regulations and Initiatives on the Industry
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1.7 Impact of COVID-19 on the Market
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2. MARKET SEGMENTATION
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2.1 By Sector
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2.1.1 Residential
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2.1.2 Commercial
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2.1.3 Industrial
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2.1.4 Infrastruture (Transportation)
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2.1.5 Energy and Utilities
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Bangladesh Construction Market Size FAQs
How big is the Bangladesh Construction Market?
The Bangladesh Construction Market size is expected to reach USD 32.33 billion in 2024 and grow at a CAGR of 6.42% to reach USD 44.13 billion by 2029.
What is the current Bangladesh Construction Market size?
In 2024, the Bangladesh Construction Market size is expected to reach USD 32.33 billion.
