Bahrain's construction industry is bracing for a major slump, owing to the global economic crisis, acording to A A Nass group managing director Samir Nass.

The construction sector would be hit hard by the second half of this year, he said.
Though the prices of building materials have come down, many other costs have gone up, said Nass. “Steel prices have dropped heavily, but they have not yet reached the original level. Cement prices have not come down to the expected level and we are still under the pressure of a quota system in its import.”
Meanwhile, the salary of engineers and project managers has gone up by 200 to 300 per cent, while diesel prices have increased by 43 per cent, making fleet operations very expensive, he said. “This has made the construction market very competitive... many major construction companies may downsize their activities.”