The publisher expects the construction industry in Hungary is expected to shrink by 1.8% in real terms in 2024, owing to headwinds caused by rising inflation, interest rates, construction material prices, coupled with declining investments in the construction industry. According to the Hungarian Central Statistical Office (KSH), the investment in construction industry fell by 24.9% year on year (YoY) in the first nine months of 2023, preceded by an annual growth of 3.3% in 2022. In addition, the residential and commercial sector’s weakness is majorly affecting the industry’s output in 2024. According to KSH, the total number of commercial construction permits fell by 16.1% in the first nine months of 2023 and the total number of residential construction permits fell by 43.2% in the first nine months of 2023, preceded by an annual growth of 3.3% and 19.7% in 2022, respectively.
However, the construction industry is expected to record an annual average growth rate of 5.7% between 2025 and 2028, supported by improvement in investments in transport, energy production projects, residential and commercial construction projects. In November 2023, the European Commission approved a plan to fund HUF2.6 trillion ($6.7 billion) in grants and HUF1.5 trillion ($4 billion) in loans to include the REPowerEU program under Recovery and Resilience Plan by end of 2026.
However, the construction industry is expected to record an annual average growth rate of 5.7% between 2025 and 2028, supported by improvement in investments in transport, energy production projects, residential and commercial construction projects. In November 2023, the European Commission approved a plan to fund HUF2.6 trillion ($6.7 billion) in grants and HUF1.5 trillion ($4 billion) in loans to include the REPowerEU program under Recovery and Resilience Plan by end of 2026.
The Construction in Hungary – Key Trends and Opportunities to 2028 (H1 2024) report provides detailed market analysis, information and insights into Hungary's construction industry, including -
- Hungary's 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 Hungary's 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 Hungary. It provides -- Historical (2019–2023) and forecast (2024–2028) valuations of the construction industry in Hungary, 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 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 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