EFFECTS OF COVID-19 ON CONSTRUCTION INDUSTRY: A CASE OF INDUSTRY PROFESSIONAL STAKEHOLDERS IN TANZANIA

Abstract

Post-COVID-19 pandemic studies have been conducted throughout the world. In Tanzania, the studies mostly focus on the health, tourism and economy sectors, but scantly on the construction industry, which contributes significantly to the GDP of Tanzania. The sector contributes about 20% annually to both formal and informal projects. This study intends to investigate the effects of COVID-19 on the construction sector and the corresponding coping strategies applied by the stakeholders during the pandemic. Data was collected using the Kobo Collect Tool (ODK Collect app) from the stakeholders (architects, contractors, engineers, quantity surveyors, realtors, and land surveyors) and analyzed using SPSS (V.29). Findings show that, generally, 96% of all stakeholders experienced the effects. Specifically, 67% decline of projects and clients, 36% disputes due to project delays, 39% office closure and relocation, 26% fear to invest and 28% closed of operations. Coping strategies include staff retrenchment (39%), office relocation (36%) and project postponement (24%). The study recommends a policy promoting locally sourced materials to prevent dependency on imported supplies in the event of another pandemic. Collaborative initiatives between the industry and the government to establish a special fund basket to financially rescue firms during the pandemic are recommended.