The publisher has revised the growth forecast for Russia’s construction industry upwards in 2021, with the industry now expected to grow by 4.1% in real terms this year, from the earlier estimate of 1.6%. This upward revision is attributed to progress in public and private sector investments in construction works. According to the Federal State Statistics Service (Rosstat), the industry’s value add grew by 10.3% year on year (YoY) in Q2 2021, preceded by year-on-year (Y-o-Y) growth rates of 0.1% in Q1 2021 and 2% in Q4 2020. Moreover, the country’s total investment in fixed capital grew by 15.5% YoY in Q2 2021, preceded by Y-o-Y growth of 6.2% Q1 2021.
The industry’s performance will be supported by the government’s emphasis on the implementation of large-scale infrastructure projects, including the Safe High-Quality Roads national project. Under this project, the government plans to build and reconstruct 1,754.8km of federal highways and highways during the period of 2021-2024 and plans to allocate more than RUB270 billion (US$3.8 billion) for the implementation of a set of measures, including RUB70 billion (US$1.0 billion) from extra-budgetary sources. Moreover, in July 2021, the government allocated RUB53 billion (US$718.5 million) for building and repairing road infrastructure.
Over the remainder of the forecast period, the construction industry is expected to register an annual average growth of 2.5% between 2022-2025, supported by the government’s focus on the development of infrastructure, as well as energy and utilities construction projects. Improvements in consumer and investor confidence and positive developments in regional economic conditions will also provide momentum. The industry’s output will also be supported by the government’s plan to invest RUB2.4 trillion (US$33.05 billion) for infrastructure projects by 2030 to support long-term social and economic development, which was unveiled by the government in October 2021.
The industry’s performance will be supported by the government’s emphasis on the implementation of large-scale infrastructure projects, including the Safe High-Quality Roads national project. Under this project, the government plans to build and reconstruct 1,754.8km of federal highways and highways during the period of 2021-2024 and plans to allocate more than RUB270 billion (US$3.8 billion) for the implementation of a set of measures, including RUB70 billion (US$1.0 billion) from extra-budgetary sources. Moreover, in July 2021, the government allocated RUB53 billion (US$718.5 million) for building and repairing road infrastructure.
Over the remainder of the forecast period, the construction industry is expected to register an annual average growth of 2.5% between 2022-2025, supported by the government’s focus on the development of infrastructure, as well as energy and utilities construction projects. Improvements in consumer and investor confidence and positive developments in regional economic conditions will also provide momentum. The industry’s output will also be supported by the government’s plan to invest RUB2.4 trillion (US$33.05 billion) for infrastructure projects by 2030 to support long-term social and economic development, which was unveiled by the government in October 2021.
The publisher’s Construction in Russia - Key Trends and Opportunities to 2025 report provides detailed market analysis, information and insights into the Russian construction industry, including:
- The Russian 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 Russian 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 Russia. It provides:
- Historical (2016-2020) and forecast (2021-2025) valuations of the construction industry in Russia, 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.
- Evaluate competitive risk and success factors.
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
