An impact overview of COVID-19 on the construction industry in Pakistan

Abstract

The construction and development sector is considered as the backbone of any growing economy. Globally, the construction industry (CI) has experienced significant growth alongside increasingly complex projects that involve multi-disciplinary stakeholders such as clients, consultants and contractors, known as the 3Cs. Despite modern efforts towards digitalisation and the introduction of technology, this industry was among the most impacted by COVID-19 in many countries. The 3Cs have faced impediments in practicing their respective roles. This research utilises a mixed methodology approach by utilising an extensive literature review combined with statistical analysis to study the impacts on working practices of the 3Cs of the CI in Pakistan. The six major impact factors were related to planning and overhead cost, manufacturing and shipping, permit issuance, liquidated damages, cash flows, material availability and delivery. Among the six factors, delays in permit issuance and materials availability were the two global factors investigated in the study. The significance of the impact factors was further justified by comparative analysis with existing literature. The study further revealed that contractors were the most affected party within the 3Cs of the CI in Pakistan. The findings of this study are significant to tackle such a pandemic in the future, by suggesting effective emerging practices which may also be made and enforced as regulations by the government.