Market Research Report
Construction in Croatia - Key Trends and Opportunities to 2023
|Published by||GlobalData||Product code||885373|
|Published||Content info||52 Pages
Delivery time: 1-2 business days
|Construction in Croatia - Key Trends and Opportunities to 2023|
|Published: July 4, 2019||Content info: 52 Pages||
Croatia's construction industry regained growth momentum in 2018, with output expanding by 4.7% in real terms - up from 1.3% in 2017. The industry's output value, measured at constant 2017 US dollar exchange rates, increased from US$6.8 billion in 2017 to US$7.1 billion in 2018. The country's gross fixed capital formation at 2010 chain linked volume prices grew by 4.1% in 2018 compared to 2017, increasing from HRK74.3 billion (US$11.2 billion) in 2017 to HRK77.3 billion (US$12.3 billion) in 2018; this was preceded by an annual growth of 3.8% in 2017.
The country's average construction works volume index also grew in 2018, increasing by 4.9%, according to the Croatian Bureau of Statistics (CBS). The average construction works volume index for buildings grew by 10.9% year-on-year in 2018, although that of civil engineering works declined by 2.9% year-on-year. Furthermore, the average construction works volume index grew by 13.8% year-on-year in the first two months of 2019, while that of buildings grew by 13.5% year-on-year and civil engineering works by 14.1% year-on-year during the same period.
The industry's output value is expected to continue to expand in real terms over the forecast period (2019-2023), driven by the government's plans to upgrade the country's transport infrastructure. The government plans to invest HRK9.3 billion (US$1.5 billion) in rail infrastructure by 2023. The industry's output value in real terms is expected to rise at a compound annual growth rate (CAGR) of 2.75% over the forecast period. The industry is consequently expected to rise from a value of US$7.1 billion in 2018 to US$8.2 billion in 2023, measured at constant 2017 US dollar exchange rates.
Commercial construction was the largest market in the Croatian construction industry in 2018, accounting for 26.3% of its total value that year. The market is expected to follow a similar trend over the forecast period, with commercial construction accounting for 27.6% of the industry's total value in 2023. Residential construction accounted for 23.3% of the industry's total output in 2018, followed by infrastructure construction with 21.9%, industrial construction with 14.3%, institutional construction with 7.09% and energy and utilities construction with 7.06%.
The total construction project pipeline in Croatia including all mega projects with a value above US$25 million - stands at HRK154.3 billion (US$24.6 billion). The pipeline, which includes all projects from pre-planning to execution, is well balanced, with 51.3% of the pipeline value being in projects in the pre-execution and execution stages as of July 2019.
The report "Construction in Croatia - Key Trends and Opportunities to 2023", provides detailed market analysis, information and insights into the Croatian construction industry, including -
This report provides a comprehensive analysis of the construction industry in Croatia. It provides: