Construction works in Romania shrink by 0.6% in 2021 despite active residential segment

The volume of construction works in Romania decreased last year by 0.6% compared to 2020, despite the robust 28% advance of the residential buildings segment, according to data released by the statistics office INS.

The volume of works on non-residential buildings (a rather heterogeneous segment including industrial logistics but also commercial projects) contracted by 11.4%, while the volume of civil engineering works (depending on Government financing) lost 6.2% as well.

In the fourth quarter of the year, the annual dynamics of the constructions activity was negative (-2.4% YoY) for the second quarter of the year after the 7.9% YoY plunge in Q3.

The annual dynamics for the three market segments was pretty similar to that seen for the whole year: that of the residential buildings segment soared by 28.5% YoY, the volume of works on non-residential buildings plunged by 15.5%, while the civil engineering segment lost 6.3% YoY.

In seasonally adjusted terms, the activity in the fourth quarter of last year was not as weak as that in Q3: it strengthened by 2.2% QoQ - insufficient to offset the 10.6% QoQ plunge that took place in Q3.

(Photo source: Bogdan Hoda/Dreamstime.com)