New road contracts kicked off in July

According to raw data, the volume of construction output in July 2024 was 6.2 percent lower than a year earlier, the Hungarian Central Statistical Office (KSH) said on Friday. Among the main construction groups, the output of buildings decreased by 2.8 percent and that of other construction by 10.6 percent. In contrast, based on seasonally and working day adjusted indices, the output of the construction industry was 1.0 percent higher than in June.

Volume of new contracts doubled, road construction numbers grew even more

Among the construction sectors, output was 26.1 percent lower in the construction of buildings and 9.8 percent lower in the construction of other structures. The largest sector, specialised construction, grew by 8.6 percent.

The volume of new contracts signed increased by 108.0 percent. Within this, contracts for the construction of buildings were 22.4 percent lower and those for the construction of other structures 283.0 percent higher than a year earlier, with the jump being driven by high-value contracts for road works.

Firms have larger contract portfolios than a year earlier

The volume of contracts in the construction sector at the end of July was 21.0% higher than in the same period of the previous year, with contracts for the construction of buildings down by 5.4% and those for other construction up by 47.8%. In the first seven months of the year, the volume of construction output increased by 3.0% compared to the same period of the previous year, the HCSO said.