The construction sector has been successful in the first half of the year, with a total of RM26.36 billion. Analysts say the sector will take off in the second half of the year with the support of large-scale infrastructure projects, and it is predicted that it will receive more than RM40 billion in contracts, a record high since 2016.
Hong Leong Investment Bank Research released a report on Wednesday saying that the contract value obtained by the domestic construction sector in the first half of 2024 was astonishing, reaching RM20.738 billion, an increase of 41% over the previous year, almost comparable to the total contract value received by the sector in 2023 of RM21.8 billion.
Analysts pointed out that the main reason for the sharp increase in contract value so far this year is the increase in the number of contracts in the field. There were 97 contracts in the first half of the year alone, far higher than the 51 contracts in the same period last year.
“We found that the sector's contract value for the second quarter of this year was RM13.8 billion, which is our second-highest quarterly record for compiling the database since 2009, after 2016.”
The analyst added that this field can still achieve such excellent results without too many infrastructure projects during this period, which is undoubtedly a major achievement.
“We believe that the bullish sentiment among real estate developers and data center related contracts is the reason for the surge in construction contracts.”
Analysts said that in the second half of this year, in addition to data centers continuing to dominate contracts in the field, it is expected that this field will continue to improve with the support of launching large-scale public infrastructure projects.
“Simply put, the large-scale projects that were extended in the first half of the year will be the main axis leading the field in the second half of the year.”
Analysts believe that the second half of the year...

Renewable energy and ESG Sarawak 2 investment trump card
Exclusive Report: Xiao Weiyang
At a time when Malaysia became the darling of foreign investors, Sarawak was also intensively developing the state's economy, hoping to become a major economic center for Malaysia and the region.
Internally, Shazhou has drastically raised development expenses and is in full swing to launch more infrastructure projects; externally, the state government is actively attracting various high-tech investments to achieve industrial upgrading.
In the process, Shazhou was by no means alone; the federal government also had “blood transfusion” support behind it. Prime Minister Anwar has said he is full of confidence in Shazhou's economic potential.
The economic gears are rolling, what projects are getting a lot of attention? At the same time, which Malaysian stocks are worth paying attention to? After collating the opinions of major brokerage firms and current affairs topics, “Nanyang Commercial Daily” presents them to readers one by one.
Become a developed state by 2030
Sand competed for 100 billion investment in 6 years
At a time when Malaysia has become the darling of foreign investors due to global supply chain restructuring, Sarawak, located in Borneo, is also struggling and plans to upgrade to a major economic center through a series of investment projects. In the process, what development projects are attracting attention? Also, which Malaysian listed companies are involved, and are worth investors' attention?
When it comes to boosting the economy, Sarawak can be described as making every effort in recent years. The state has set a goal of securing more than RM100 billion in capital injections over the next 6 years, making it one of the “developed states” by 2030 at the latest. At that time, Sarawak's gross domestic product (GDP) is expected to reach RM282 billion, which is 93% higher than RM146 billion in 2023.
In line with the above...