Kuala Lumpur: Hong Leong Investment Bank is optimistic about the construction sector driven by the rollout of various infrastructure projects nationwide.
These projects should help drive contract flows in 2024. The research house said industrial projects and the construction of data centres remain highly robust with Johor being touted as the fastest-growing data centre market in Southeast Asia. “The Johor LRT serves as a critical dispersal system for the incoming rapid transit system link project between Johor Bahru and Singapore which will be fully operational in 2027,” it added.HLIB said it is overweight on the sector and expects a strong private sector job flow from data centres, factories/warehouses and commercial/residential projects to drive contract awards beyond RM20 billion per annum.
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