The outlook for the next months is even gloomier, as the latest credit regulations imposed by the central bank are poised to further limit the companies’ access to foreign loans, Coface said in its latest global construction report.
However, the local construction market is not completely shadowed by the economic and financial downturn.
In November, Romania reported the highest annual increase in construction works among EU members, the report noted. Romanian construction works advanced 16.9% on the year in unadjusted data and 14% in data adjusted for working days and seasonal factors.
In Europe, the construction sector has stabilized following three years of decline and activity is expected to finally pick up in 2012, albeit at a very modest pace, provided “the upturn in housing remains on track,” Coface said.
The construction of new housing will also remain substantially below its early 2008 peak.
“Non-residential and public works meanwhile are expected to decline again in a very uncertain economic context marked by the tight fiscal policies adopted in many countries,” the report noted.