Construction output accelerates in Q2

Construction output in Cyprus accelerated in the second quarter of 2006 and also rose faster than initially estimated in the first quarter, according to the latest figures from the Statistical Service.

The construction output index in the second quarter reached 138.8 units (base year 2000=100.0), recording an increase of 6.9% over the second quarter 2005.

The index for the first quarter was revised upwards, so that output rose by 4.7%, compared with an initial estimate of 3.7%.

Civil engineering works are racing ahead, without output rising by 26.8% year on year in the second quarter, from an upwardly revised 13.7% in the first.

Building construction slowed slightly, rising by 1.4% in the second quarter after 2.7% in the first.

At the same time, overall construction output prices eased slightly, from an increase of 9.8% year on year in the fourth quarter of 2005 to growth of 9.5% in the first quarter of 2006 and 9.3% in the second. However, within that category, growth of civil engineering output prices accelerated, from 11.8% in the fourth quarter to 15.8% in the first and 17.8% in the second. Presumably the fast growth in output is also putting upward pressure on prices. F.M.