07.04.2023
The Statistical Office of Cyprus ( Cystat ) on Thursday reported an annual fall in construction production in the fourth quarter of 2022, while producer prices in construction increased significantly by 11.1% year on year.
According to the report, the construction production index reached 209.80 units in the fourth quarter of 2022, with the base year being 2015. This means a decrease of 1.7 percent compared to the fourth quarter of 2021.
The Construction Production Index is an economic indicator that measures the level of output or production in the construction industry over time. It is calculated by combining the volume of construction work with price data to give an idea of the cost of construction products. The index is often used to track changes in the overall level of activity in the construction sector and to get an idea of the industry’s performance over time.
In addition, in the fourth quarter of 2022, the volume of construction projects decreased by 0.9%, while the volume of civil engineering projects decreased by 6.9% compared to the same quarter in 2021.
For the period from January to December 2022, the index recorded a 5.4% drop compared to the corresponding period in 2021. During this period, the index for buildings decreased by 6.5%, while the index for civil engineering increased by 1.6%.
Meanwhile, according to a separate but related report from the Statistical Office of Cyprus, the construction producer price index reached 134.71 units in the fourth quarter of 2022, up 4 percent from the third quarter of 2022.
At the same time, compared with the corresponding quarter of last year, the indicator increased by 11.1%.
The Construction Producer Price Index measures the average change over time in the selling prices that local producers receive for their construction goods and services. It is used to track inflation in the construction industry and provides insight into trends in the cost of building inputs such as materials, labor, and equipment.
Compared to the corresponding quarter of 2021, the number of construction projects increased by 9.1%, and the number of civil engineering projects increased by 18.1% in the fourth quarter of 2022, depending on the type of project.
For the period from January to December 2022, the construction producer price index increased by 11.3% compared to the corresponding period in 2021.
Finally, the index for buildings rose by 11.8% and for civil engineering projects by 9.6%.
