The Value of construction projects awarded increased by 17 percent in 2014.
The building industry is supported by a recovery in the awarding of affordable housing projects, but it must be noted that given the scale of these projects, the completion periods are longer than the average for typical housing developments. The impact on investment is therefore spread over a longer period of time. The value of non-residential projects awarded increased by 21,1 percent in 2014, in spite of a 36 percent decrease in the value of awards during the month of December
The number of projects postponed increased by 124 percent y-y in 2014, with over 320 non-residential contracts already cancelled during the course of 2014 (an increase of 63 percent). There was an increase in the number of housing projects postponed, with a 150 percent increase in the number of low-income housing projects and a 44 percent increase in the number of civil projects delayed.
Conditions in the building industry will continue to be challenged by poor economic fundamentals and weak investor confidence.