CGS International Securities Singapore recently hosted its second Makan & Market Talk, focusing on the robust outlook for Singapore’s construction sector. The event, held on 22 August, brought together industry leaders, investors, and experts to discuss the ongoing construction upcycle and emerging opportunities. Key topics included the impact of mega-projects, sustainability initiatives, and technological advancements on the industry.
The panel, featuring experts such as Malcolm Koo, CEO of CGS SG, and Song Seng Wun, Economic Adviser at CGS SG, highlighted the sector’s resilience. Song noted, “Demand is bursting out of our ears,” emphasising the importance of resource maximisation. Despite global economic influences, Singapore’s strategic planning in labour and infrastructure is expected to sustain growth.
Research Analyst Natalie Ong pointed out that construction stocks have surged 112% over the past year, outpacing the Straits Times Index. She stated, “With historical PEs still only around 12, there is room for valuation growth.” Major projects like Changi Airport Terminal 5 and MRT expansions are driving demand, expected to peak in 2025 and remain strong through 2029.
Sustainability is also a key focus, with Tan Yoong Heng of Arup and the Building & Construction Authority highlighting Singapore’s green economy vision. Projects such as the Changi East Urban District are integrating circular economy practices and climate resilience.
Industry leaders Goh Wee Ping and Lim Thiam Hooi discussed how companies are leveraging technology, such as drones and AI, to enhance productivity amidst labour challenges. Despite cost pressures, the emphasis on quality and sustainability offers a competitive edge.
CGS International plans to continue its Makan & Market Talk series, providing fresh insights and engagement opportunities.
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