2015 has been a tremendous year for construction industry in Africa. Some construction companies have announced loses while others announced profits. These are some of the challenges that will continue to grip the construction industry in 2016. Below are some of the challenges that construction industry in Africa is likely to contend with in 2016.
First and foremost, the strength of the dollar is oftentimes the number one reason projects get stalled. Investors may balk at some of the demands of local planning commissions and/or zoning boards (see more below), demands that mean more funds must be allocated. As a result, projects get red-lighted until (and if) the matter can be sorted out. As time goes by, the cost for projects (especially supplies and manpower) increases;
Whether it is from local residents and/or other business owners or environmentalists’ etc. projects can be halted due to legal issues. It is common to see residential and commercial construction projects get tied up in the courts for weeks, months and even sometimes years.
Last but not least, something as simple as the weather can be a factor that leads to building delays.
In the event your construction project (residential or commercial) is delayed due to any of the above-mentioned issues or others, it is always possible to renegotiate the original financing planned or maintain it, then look for a loan to cover the extra time caused from the delay.