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Iulian Ernst
Senior Editor

Iulian studied physics at the University of Bucharest, and he sees himself as a physicist in the broadest sense of the word. He also studied economics at Charles University in Prague and Central European University in Budapest, after a master’s program in business administration at Bucharest Academy of Economic Studies. Since recently, he’s been exploring coding and data analysis for business and economics. As a freelancer, he worked for nearly two decades as an analyst for ISI Emerging Markets, Euromonitor International, Business New Europe, but also as a consultant for OMV Petrom and UkrAgroConsult. Iulian was part of the founding team of Ziarul Financiar. At Romania Insider, which he joined in 2018, he is reviewing the latest economic developments for the premium bulletins and newsletters. He would gladly discuss topics such as macroeconomics, emerging markets, Prague, energy sector including renewable, Led Zeppelin, financial services, as well as tech start-ups and innovative technologies. Email him at iulian@romania-insider.com. 

 

Romania’s construction market shows signs of fatigue

Romania’s construction activity index contracted by 3.5% MoM (seasonally adjusted terms) and by 2.4% YoY (gross terms) in July, resulting in a less buoyant bigger picture than half a year ago.

In June, the seasonally adjusted index edged up marginally, and in May, it marked another significant (-7.2% mom) decline.

While the residential market segment maintains a robust growth trend (+32% YoY) despite high volatility, the non-residential segment (-18.8% YoY) has at best stagnated over the past year, and the civil engineering segment (public infrastructure projects, -6.7% YoY) has lost ground over the past several months after starting the year at a high level.

Such developments are not exactly unexpected: the non-residential market is formed by sub-segment moving opposite directions (logistics up, commercial, and office down), and the resulting trend is not necessarily relevant while more detailed data are needed.

The Government seems to have lost stem, at least in terms of civil engineering works, although it reports record investments.

Finally, the most delicate segment is the residential segment: rising sharply but potentially accumulating the toughest tensions (non-performing loans) as irrational decisions may be taken under the pressures of “imminent price hikes” narrative circulated on the sell-side (and partly true). 

andrei@romania-insider.com

(Photo source: Dreamstime.com)

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Profile picture for user iuliane
Iulian Ernst
Senior Editor

Iulian studied physics at the University of Bucharest, and he sees himself as a physicist in the broadest sense of the word. He also studied economics at Charles University in Prague and Central European University in Budapest, after a master’s program in business administration at Bucharest Academy of Economic Studies. Since recently, he’s been exploring coding and data analysis for business and economics. As a freelancer, he worked for nearly two decades as an analyst for ISI Emerging Markets, Euromonitor International, Business New Europe, but also as a consultant for OMV Petrom and UkrAgroConsult. Iulian was part of the founding team of Ziarul Financiar. At Romania Insider, which he joined in 2018, he is reviewing the latest economic developments for the premium bulletins and newsletters. He would gladly discuss topics such as macroeconomics, emerging markets, Prague, energy sector including renewable, Led Zeppelin, financial services, as well as tech start-ups and innovative technologies. Email him at iulian@romania-insider.com. 

 

Romania’s construction market shows signs of fatigue

Romania’s construction activity index contracted by 3.5% MoM (seasonally adjusted terms) and by 2.4% YoY (gross terms) in July, resulting in a less buoyant bigger picture than half a year ago.

In June, the seasonally adjusted index edged up marginally, and in May, it marked another significant (-7.2% mom) decline.

While the residential market segment maintains a robust growth trend (+32% YoY) despite high volatility, the non-residential segment (-18.8% YoY) has at best stagnated over the past year, and the civil engineering segment (public infrastructure projects, -6.7% YoY) has lost ground over the past several months after starting the year at a high level.

Such developments are not exactly unexpected: the non-residential market is formed by sub-segment moving opposite directions (logistics up, commercial, and office down), and the resulting trend is not necessarily relevant while more detailed data are needed.

The Government seems to have lost stem, at least in terms of civil engineering works, although it reports record investments.

Finally, the most delicate segment is the residential segment: rising sharply but potentially accumulating the toughest tensions (non-performing loans) as irrational decisions may be taken under the pressures of “imminent price hikes” narrative circulated on the sell-side (and partly true). 

andrei@romania-insider.com

(Photo source: Dreamstime.com)

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