Construction output keeps dropping in September
The volume of construction output in Hungary fell by 13.2% in September, compared to the same month of 2015, with output in the two main groups of construction changing in opposite directions. While construction of buildings increased by 3.1%, that of civil engineering works fell by 25.3%, the Central Statistical Office (KSH) said today in a first release of data.
Based on seasonally and working day-adjusted indices, construction output increased by 1.7% in September, as compared to the previous month, while construction producer prices rose by 2.8% in the third quarter, compared to the equivalent period of the previous year.
Growth in construction of buildings continues to be largely the result of the construction of industrial and, to a lesser extent, hotels, educational buildings and sports facilities, the KSH reported. However, the office stressed, the decline in the construction of civil engineering works was primarily caused by the completion of works carried out using EU funds at the end of 2015. Compared to the corresponding period of last year, the largest decrease was recorded in the output of road and railway construction enterprises in September, the KSH added.
The volume of new contracts was 26.5% lower than in the same period of the previous year, within which the volume of new contracts was down 25.8% for the construction of buildings and by 27.2% for the construction of civil engineering works, KSH data show.
In the January-September period, the volume of construction output was 20.7% lower than in the equivalent period a year earlier, according to the KSH.
Construction producer prices increased by 4.5% in the division of building construction in the third quarter, by 1.6% in civil engineering works, and by 2.9% in specialized construction works representing the greatest weight in the construction industry compared to the same period of the previous year, the KSH added.
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