Ireland the worst performer in Euro construction sector
Construction output in this country is to continue in freefall over the next year, according to Euroconstruct, the main network for construction, finance and business forecasting in Europe.
It said construction here by year’s end will have fallen by 32% in 2009 and by a further 22% in 2010.
The news follows on a pre-Budget submission from the Construction Industry Federation (CIF) which earlier this month showed that over the past two years the number of direct and indirect employees in the industry had fallen from 400,000 to below 200,000.
Current trends, if allowed to continue, indicated that total employment could decline to below 100,000 by the end of next year, it said.
The findings puts this country at the number one spot in terms of worst performers in the construction sector over the last few years.
The organisation whose aim is to provide decision-makers in the construction sector and related markets and in ministries, agencies and national and international associations with information, analyses and forecasts to enable them to plan business more effectively said the next worst performer over the same period would be Spain, showing a decline of over 31%.
The sector wouldn’t begin to show signs of recovery until 2012.
Germany was the only market forecast to grow in 2010, although at a slower pace than previously forecast.
Euroconstruct said that companies would have to rely on operational efficiencies and leverage to generate strong recovery in profits.
The CIF wants the government to use private pension funds and other funding options to undertake public infrastructure projects including in the areas of transportation, health, education, telecommunications, and water and waste water.
