Portugal’s construction sector continues to wither.
While there was a drop in construction, both building construction and civil engineering across the euro region of -1.8% for the month of February, in Portugal the fall was -2.2%.
The largest monthly fall in construction was in Germany, down -3.1%. Portugal and France shared joint second place for the worst decline, namely -2.2%.
The picture is yet more discouraging when considering annual output.
Portugal again exceeded the eurozone average decline of -3.7%. The country’s building sector shrank by -4.5% last February compared to February 2014. And 2014 was hardly a sterling year itself.
Germany’s annual construction slid back -8.1%, France’s by -7.9% while Portugal’s drop of -4.5% was the third largest decrease in the economic region.
Construction in Spain for the year increased by 3.3%, capping off a solid six months of healthy growth in the building sector.
For the eurozone as a whole, building construction declined -4% and civil engineering by -2.7%.
Comments
The estimate of costs within the paperwork of every official municipal licensed building work. Usually buried out of sight of the foreigner.
So what 'should' be no more than 400 - 500 euros a sq. metre often ballooned, by the end of the build, to twice that.
Any personal choice in finish - say tiles or bath taps - quickly revealing that the builder had intended 'cheap as chips'. And the foreigner now facing huge cost over-runs in exercising their often only marginally more expensive choice.
But this assumes a builder could be found. Once the Valor das Obras has been queried by the foreigner no builder will come near that legally obligated valuation.
Only some chancer intending to abandon the build later having secured the bulk of the funds.
V das O insisted upon by Brussels precisely to control 'over-charging' but habitually neatly side stepped by all the Portuguese professionals and authorities involved in building regulations.