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is cognizant of the fact that construction projects can be extremely complex
and fraught with uncertainty. Risk and uncertainty can potentially have
damaging consequences for construction projects.

Major Risks Facing the company are: To mitigate the risks that
dependent on government
1. Government Spending And Financial Policy spending, the company

The vast majority of company activities rely heavily on government’s already started diversification
of its revenue streams to
spending and finical policies, since most project’s clients are government
related. Historically, government spending tied to oil & gas and its reduce reliance on project
income associated with
derivatives prices. Therefore, any change in oil prices will have a negative
impact on government spending, thus company activities, businesses and government spending by
solvency will be affected adversely. Recently the crash of oil prices, led to considering investments with
private sector. Without
many decisions that resulted adjusting energy prices, electricity tariffs and
other services in order to reflect the effect new declining oil prices. dropping the interest in
persuading projects reliant on
Because of that, the company’s current working projects, have subjected
to a substantial increase in the operating expenditures. government spending.

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