The Coronavirus (COVID-19) pandemic significantly disrupted the Czech Republic’s economy, with containment measures bringing many key sectors to a standstill, and causing a decline in construction output last year. The country’s construction industry fell by 3.5% in real terms in 2020, following an annual growth of 1.4% in 2019. The industry’s output value decreased from US$37.2 billion in 2019 to US$35.9 billion in 2020.
According to the Czech Statistical Office (CZSO), the country’s construction production index fell by 4.9% year on year (YoY) in 2020, and 5.8% in the first four months of 2021. Although building construction activities declined in 2020, civil engineering works maintained strong growth. The average construction production index for civil engineering works grew by 4.3% YoY in 2020, and declined marginally by 1.6% YoY in January-April 2021, while building works declined by 8.3% and 7.5%, respectively, during the same period.
The publisher expects the Czech construction industry to recover this year; the vaccine rollout, coupled with the expected improvement in economic conditions, will support growth in the industry. Although the industry will be affected by the reimposition of lockdown measures to tackle the third wave of infections in the first half of the year. The industry’s growth will be supported by the increasing business confidence, with the average business confidence index in the construction industry increasing to 115.2 in May 2021, compared to 110.9 in April 2021 and 103.6 in May 2020, according to the CZSO. The publisherforecasts the construction industry to expand by 2.3% in 2021. Over the remainder of the forecast period, output is expected to register an average annual growth rate of 2.8% between 2022-2025.
In October 2020, the government approved the 2021 budget worth CZK1.8 trillion (US$72.3 billion). The government also agreed to a draft budget of CZK128.7 billion (US$5.1 billion) for the State Fund for Transport Infrastructure for 2021, with a medium-term outlook for 2022 and 2023. Of the total, CZK83 billion (US$3.3 billion) is planned for capital expenditure. Through this, the government plans to support municipalities and regions by contributing to the repair of roads and increasing the amount of funds made available for investments by the State Transport Infrastructure Fund.
This report provides detailed market analysis, information and insights into the Czech construction industry, including:
Scope
This report provides a comprehensive analysis of the construction industry in the Czech Republic. It provides -
Reasons to Buy
According to the Czech Statistical Office (CZSO), the country’s construction production index fell by 4.9% year on year (YoY) in 2020, and 5.8% in the first four months of 2021. Although building construction activities declined in 2020, civil engineering works maintained strong growth. The average construction production index for civil engineering works grew by 4.3% YoY in 2020, and declined marginally by 1.6% YoY in January-April 2021, while building works declined by 8.3% and 7.5%, respectively, during the same period.
The publisher expects the Czech construction industry to recover this year; the vaccine rollout, coupled with the expected improvement in economic conditions, will support growth in the industry. Although the industry will be affected by the reimposition of lockdown measures to tackle the third wave of infections in the first half of the year. The industry’s growth will be supported by the increasing business confidence, with the average business confidence index in the construction industry increasing to 115.2 in May 2021, compared to 110.9 in April 2021 and 103.6 in May 2020, according to the CZSO. The publisherforecasts the construction industry to expand by 2.3% in 2021. Over the remainder of the forecast period, output is expected to register an average annual growth rate of 2.8% between 2022-2025.
In October 2020, the government approved the 2021 budget worth CZK1.8 trillion (US$72.3 billion). The government also agreed to a draft budget of CZK128.7 billion (US$5.1 billion) for the State Fund for Transport Infrastructure for 2021, with a medium-term outlook for 2022 and 2023. Of the total, CZK83 billion (US$3.3 billion) is planned for capital expenditure. Through this, the government plans to support municipalities and regions by contributing to the repair of roads and increasing the amount of funds made available for investments by the State Transport Infrastructure Fund.
This report provides detailed market analysis, information and insights into the Czech construction industry, including:
- The Czech construction industry's growth prospects by market, project type and construction activity
- Critical insight into the impact of industry trends and issues, as well as an analysis of key risks and opportunities in the Czech construction industry
- Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline.
Scope
This report provides a comprehensive analysis of the construction industry in the Czech Republic. It provides -
- Historical (2016-2020) and forecast (2021-2025) valuations of the construction industry in Czech Republic, featuring details of key growth drivers.
- Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
- Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
- Listings of major projects, in addition to details of leading contractors and consultants
Reasons to Buy
- Identify and evaluate market opportunities using the publisher's standardized valuation and forecasting methodologies.
- Assess market growth potential at a micro-level with over 600 time-series data forecasts.
- Understand the latest industry and market trends.
- Formulate and validate strategy using the publisher's critical and actionable insight.
- Assess business risks, including cost, regulatory and competitive pressures.
Table of Contents
1 Executive Summary2 Construction Industry: At-a-Glance6 Construction Market Data
3 Context
4 Construction Outlook
5 Key Industry Participants
7 Appendix
List of Tables
List of Figures
