Construction industry set for brighter 2017

A surge in public-sector building jobs this year could help to reverse the falling trend.
A surge in public-sector building jobs this year could help to reverse the falling trend. ST PHOTO: KUA CHEE SIONG

The economic slowdown has taken a toll on the construction sector, with the total value of construction demand falling for a second consecutive year in 2016.

Preliminary estimates by the Building and Construction Authority (BCA) yesterday indicated that total construction demand last year amounted to $26.1 billion, down from $27 billion in 2015.

However, a surge in public-sector building jobs this year could help to reverse the falling trend.

Public-sector construction demand - or the value of contracts expected to be awarded this year - is projected to grow to between $20 billion and $24 billion, the BCA said.

 

This would be a significant increase from the $15.8 billion or so recorded last year.

The BCA estimated that private- sector construction demand is likely to be between $8 billion and $11 billion this year.

A version of this article appeared in the print edition of The Straits Times on January 07, 2017, with the headline 'Construction industry set for brighter 2017'. Print Edition | Subscribe