Construction output and economic indicators
Official data from the Central Statistics Office shows the all-building and construction volume index increased by 1.0 percent quarter-on-quarter and 6.8 percent year-on-year as of Q4 2024, as illustrated in Figure 19. This aggregate growth masks sectoral variations, with civil engineering showing the strongest quarterly increase (1.4 percent) while non-residential building actually contracted by 1.0 percent. The value index increased by a substantial 9.3 percent year-on-year, considerably outpacing the volume growth and reflecting the impact of inflation.
Source: Turner & Townsend survey
Residential building posted the smallest annual increase at just 0.4 percent according to Figure 22, suggesting this critical sector is struggling to gain momentum despite its prioritisation in government policy. The divergence between value and volume metrics highlights the inflation challenge facing the industry, with cost increases accounting for a significant portion of apparent growth.
