The increase in costs in the construction sector is restrained in the second quarter of 2024

2024-09-03 17:11:00, Aktualitet CNA

The increase in costs in the construction sector is restrained in the second

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Costs in the construction sector have restrained growth rates in the second quarter of 2024.

According to INSTAT data, the Construction Investment index in the second quarter of 2024 reached 112.3, compared to the fourth quarter of 2021 as the base period. index of Construction Spending in the second quarter of 2024 is 2.5%, a year ago this change was 4.7%.

Compared to the same quarter of a year ago, the biggest increase in prices is observed in the group "Energy expenses" with 5.9%, followed by the groups "Expenses for wages" with 3.8%, "Transport expenses" with 3 .5%, "Other costs" with 2.1%, "Machine costs" with 1.6% and "Material costs" with 1.1%.

Within the group "Material expenses", the index of the subgroup "Hydro-sanitary materials and ventilation" recorded the highest increase of 1.2%, followed by the groups "Construction materials" with 1.1% and "Electrical materials and communication" with 0 ,8%.

INK increased by 0.2%, compared to the first quarter of 2024. The biggest increase in prices is observed in the "Transport expenses" group with 0.8%, followed by the "Wage expenses" group with 0.7% , "Machine costs" and "Energy costs" with 0.6% each. On the other hand, the prices of the group "Material expenses" decreased by 0.4%, followed by the group "Other costs" by 0.1%.

The increase in costs in the construction sector is restrained in the second

The Construction Expenditure Index (for Housing) (IKN) starting from the first quarter of 2024 is calculated with the new basis. The fourth quarter of 2021 will serve as the base period for the calculation of the index (fourth quarter of 2021 = 100).

IKN measures the price performance of construction materials, labor and other capital expenditures used in the construction of a typical dwelling (8 – 10 floors). iKN is an important economic indicator for the construction sector.

The weights of the basket of materials are calculated based on the estimates of expenses for the construction of a multi-storey apartment received from the construction firms. The new basket consists of 71 items, of which 66 are construction materials.

Prices for construction materials are collected from 237 distributors and wholesalers of construction materials. Meanwhile, the data on the expenses for wages, machinery and transport are obtained from 97 large construction companies mainly concentrated in the Tirana district./ Monitor.al