Romania's construction activity returns to growth in October-November
Romania's seasonally-adjusted construction works index has advanced by 8% in November, consolidating the 1.6% positive dynamics in October and thus putting an end to the consistent downward shift visible in May-September.
All three market segments have increased in November compared to October - the non-residential and civil engineering segments by 9%-10% and the residential segment by 5%.
Furthermore, the construction index in gross terms posted a positive (+3.9%) advance compared to November 2020.
Over the previous five months, the seasonally-adjusted index has plunged by nearly 20%, prompting moderate concerns in regard to the resilience of the sector.
Anyway, from a broader perspective, the bright outlook of the construction market was never questioned - particularly in regard to the civil engineering segment - as the country will use a large part of the funds under the Resilience Facility for various infrastructure projects.
Regarding the residential segment, the outlook is mixed in the context of rising interest rates and significant demand for housing units, particularly in the first-tier cities.
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