Construction sector output declines by 17.6 pc in July

Budapest, September 15 (MTI) – Output of Hungary’s construction industry dropped by an annual 17.6 percent in July, the Central Statistical Office (KSH) said on Thursday.

The decline followed twelve-month decreases of 16.2 percent in June and 25.8 percent in May.

Output of the buildings segment rose by 1.0 percent, mainly on the construction of industrial buildings, but also lifted by the construction of schools and sports facilities, KSH said.

Output of the civil engineering segment dropped by 31.8 percent because of projects that wound up at the end of last year, the deadline for spending grant money available during the last European Union funding cycle, it added.

In a month-on-month comparison, construction sector output fell by 3.2 percent, adjusted for seasonal and workday effects.

In January-July, construction sector output dropped by an annual 24.1 percent.

In absolute terms, output of the construction sector came to 148.4 billion forints (EUR 479m) at current prices in July.

The sector’s stock of orders was up by 16.6 percent at the end of July from a low base a year earlier. Buildings segment order stock was up by 63.5 percent, but civil engineering orders were down by 2.5 percent.

New orders were down by 3.1 percent, including a 88.2 percent increase in the buildings segment and a 41 percent fall in the civil engineering segment.

Source: MTI