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High construction growth in Australia

While factors tried to hold it back (such as the increase in interest rates that happened in November) the Australian construction market marked its fourth month of continued growth. Activity here has expanded yet again.

The group tracking such findings is the Australian Industry Group, or AI Group, which represents some 10,000 employers for various construction, manufacturing and automotive industries. It reports that the PCI or Performance Of Construction Index for the country rose from 53.2 up six points to 59.2. The key number for this index is 50, which makes the difference between expansion and contraction. This index outlines sales, orders for new business, and employment across a variety of sectors.

Group Associate Director, Tony Pensabene said in the report out today, "The findings of the Australian PCI are encouraging given the broader level of growth we are now seeing across the industry."

According to the report, key markets are non residential as they are the major factor behind construction growth. Investments into commercial property have significantly been strong.

Other areas pointed out as significantly good news include the rise in new businesses in the apartment sector. The best performing second is that of engineering construction with an increase by 13 index points. The house sector also has showed growth.

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