openPR Logo
Press release

Construction industry in Romania expected to stabilise in 2011

08-19-2011 11:07 AM CET | Industry, Real Estate & Construction

Press release from: PMR Ltd.

Prior to the start of the crisis, the Romanian construction industry was one of the most vibrant in the European Union.

This changed dramatically in 2009, when construction output fell by 15%, with a similar reduction following in 2010. The current year should finally lead to a measure of stabilisation on the market, but growth is not likely to return before 2012.

Romania was the region's best performer in construction a few years ago, with output increasing by 20-30% year on year. In both 2009 and 2010, however, 15% reductions were witnessed, mainly because of the outflow of foreign capital and the lack of funding for on-going construction projects and new developments. The steepest reduction last year, of more than one-third in comparison with the preceding year, was seen in residential construction, whereas there was a 3% reduction in civil engineering.

The number of construction companies fell by 9.1% in 2010. In the past two years there have been many bankruptcies, particularly of small companies, because of the dearth of projects and delays in payments for construction work carried out. The number of employees in the industry fell by 8.5% last year in comparison with 2009, to 317,200. However, there was a slight increase in average monthly wages in construction in 2010, to RON 1,580/month (€377).

In 2011, the construction industry has continued to decline. According to the INS, between January and April 2011 there was a 4.7% reduction in comparison with the corresponding period of 2010. A 2.2% increase was observed in non-residential construction between January and April 2011, but there were reductions of 20.8% and 1.8%, respectively, in residential construction and civil engineering. The non-residential subgroup has, therefore, been the first to recover, and it also accounts for the bulk of the overall market-more than 50%. Civil engineering is expected to follow once infrastructure development projects, particularly those involving road construction, are finally resumed, and residential is expected to be the last to return to growth. The number of residential building permits is still falling.
Construction companies are looking forward to the announcement of new public tenders and the launch of large projects. Substantial amounts of EU funding are available for the development of the country's infrastructure but it will take time for the Romanian government to gain the necessary expertise to use the money effectively. In the medium-to-long term, Romania remains one of the most promising construction markets in Europe. In anticipation of growing demand in the future, producers of building materials, and of cement in particular, have recently been investing heavily in production capacity upgrade projects.
Growth should return to the overall construction market in 2012, which will be an election year in Romania, and transport infrastructure projects, and motorway construction in particular, are, therefore, expected to receive additional funding.

This press release is based on information contained in the latest PMR report entitled "Construction sector in Romania 2011-Development forecasts for 2011-2013" (

For more information on the report please contact:
Marketing Department:
tel. /48/ 12 618 90 00

PMR permits the republishing of this press release in part or in whole provided that all portions of text, graphics, diagrams and tables identify PMR in a proper citation format: "Source: PMR". All citations should be accurate and quoted without manipulation and must not be used out of context.
For more information about citing PMR, please consult our Citation Policy.

PMR ( is a British-American company providing market information, advice and services to international businesses interested in Central and Eastern European countries as well as other emerging markets. PMR's key areas of operation include business publications (through PMR Publications), consultancy (through PMR Consulting) and market research (through PMR Research). Being present on the market since 1995, employing highly skilled staff, offering high international standards in projects and publications, providing one of most frequently visited and top-ranked websites, PMR is one of the largest companies of its type in the region.

Dekerta 24, 30-703 Kraków, Polska
tel. /48/ 12 618 90 00, fax /48/ 12 618 90 08

This release was published on openPR.

Permanent link to this press release:

Please set a link in the press area of your homepage to this press release on openPR. openPR disclaims liability for any content contained in this release.

You can edit or delete your press release Construction industry in Romania expected to stabilise in 2011 here

News-ID: 188199 • Views: 1331

More Releases from PMR Ltd.

Roads to be a driving force of the Bulgarian construction market
Access to EU funding and the investments in the energy sector are the predominant factors determining the development of the Bulgarian civil engineering construction sector in the next three years. It is expected that this segment will lead the development of the construction market in Bulgaria. According to the research company PMR’s latest report, entitled “Construction sector in Bulgaria 2012 – Development forecasts for 2012-2014”, the absorption rate of the programmes
Polish road construction market to grow nearly 25% in 2011
Activity in Polish road construction will peak in 2011 and 2012. Driven by substantial capital expenditure by the General Directorate for National Roads and Motorways (GDDKiA), the value of roadwork will exceed PLN 30bn (€7.5bn) already in 2011. Delays in the implementation of projects related to Euro 2012 and sustained investments in local roads will prepare the road market for the anticipated period of reduced spending on the construction of
Pharmaceutical contract manufacturing and API sourcing: why not Central Europe?
At present, only a few companies based in Central Europe and the Balkans emphasise their contract manufacturing and API sourcing services. There is relatively strong competition from companies from the Far East and from Western Europe. On the other hand, the potential of the region seems to be considerable, with Poland and the Czech Republic still the most attractive locations, according to the latest report from PMR, a research and
Telecoms market in CIS region to reach €39bn in 2011
The CIS telecommunications market is recovering after the crisis period. In euro terms, the market closed 2010 with double-digit growth, chiefly due to the improvement of macroeconomic indicators and the gradual strengthening of local currencies. This year, the market is also expected to increase fuelled by further development of broadband services. Russia leading The telecommunications market in Russia is by far the largest among all CIS countries. Revenues generated only on the

All 5 Releases

More Releases for Romania

Romania Agriculture Market, Romania Agriculture Industry, Romania Agriculture Li …
Romania has an agricultural capability of roughly 14.7 million hectares, of that solely 10 million are utilized as tillable land. In November 2008, an evaluation unconcealed that 6.8 million hectares don’t seem to be used. In 2018 Romania was the third biggest agricultural producer of the EU and created the biggest quantity of maize. The most issues encountered by Romanian agriculturists are a scarcity of major investments in agriculture, owing
Romania Market Overview 2019-2025: Country Intelligence Key players (Vodafone Ro …
HTF Market Intelligence released a new research report of 42 pages on title 'Romania: Country Intelligence Report' with detailed analysis, forecast and strategies. The study covers key regions that includes North America, Europe, Asia-Pacific (APAC), Middle East and Africa (MEA) or Latin America and important players such as Vodafone Romania, Telekom Romania, orange Romania, RCS&RDS (Digi), Lycamobile, UPC romania, Nextgen Request a sample report @ Summary Romania: Country Intelligence Report "Romania:
Romania: Country Intelligence Report
"Romania: Country Intelligence Report", a new Country Intelligence Report by GlobalData, provides an executive-level overview of the telecommunications market in Romania today, with detailed forecasts of key indicators up to 2022. Published annually, the report provides detailed analysis of the near-term opportunities, competitive dynamics and evolution of demand by service type and technology/platform across the fixed telephony, broadband, mobile and pay-TV segments, as well as a review of key regulatory
Agrochemicals Market in Romania
ReportsWorldwide has announced the addition of a new report title Romania: Agrochemicals: Market Intelligence (2016-2021) to its growing collection of premium market research reports. The report “Romania: Agrochemicals: Market Intelligence (2016-2021)” provides market intelligence on the different market segments, based on type, active ingredient, formulation, crop, and pest. Market size and forecast (2016-2021) has been provided in terms of both, value (000 USD) and volume (000 KG) in the report. A
Stada Romania Deploys MediaSoft CRM
Cakovec Croatia – 10 , April 2017 - After several Stada countries who run with Mediasoft CRM solutions, Stada Romania joins the club of satisfied users. Stada Romania had an very comprehensive tender on which many international Pharma CRM vendors participated but at the end Mediasoft won. The whole implementation started end of 2016 and from 1st of April 2017 Stada Romania started to use Mediasoft CRM by it’s full potential
Chocolate Confectionery in Romania
Chocolate confectionery continued to enjoy the perception of being a luxury product among the majority of Romanian consumers, who were affected by the adverse economic conditions. 2016 showed good economic growth, to continue the good GDP performance started in 2013. Chocolate confectionery posted positive growth rates in both volume and value terms, a reflection of the increased confidence in the economy as well as the recovery of incomes and the