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Croatian construction sector battered by crisis for 71 months

Author: mses
ZAGREB, Jan 26 (Hina) - There are still no signs of recovery of construction activity in Croatia, analysts have said in comments on the latest figures from the Central Bureau of Statistics showing that the volume of construction work in November 2014 decreased by 1.2% compared to October 2014 and by 5.8% compared to November 2013.

Analysts of the Croatian Chamber of Commerce (HGK) point to the continuation of the impact of the protracted crisis on the construction sector.

Construction activity is still lower than in 2013.

Since early 2009, which is how long the crisis in this sector has been going on, the physical volume of construction activity, which has been contracting for 71 months, has dropped by 40%.

Some sporadic positive growth has been noticed from time to time in construction activity other than construction of buildings, as a result of efforts to encourage economic recovery by making public investments, the Chamber's analysts noted, adding that those efforts failed.

HGK analysts believe that the recovery of the construction sector requires stronger and more permanent impulses.

They are hopeful that a part of effects of the European infrastructure investment plan will spill over to Croatia.

(Hina) ms

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