Construction in the Czech Republic – Key Trends and Opportunities to 2025 (H2 2021)

Summary

The Coronavirus (COVID-19) pandemic significantly disrupted the Czech Republic’s economy, with containment measures bringing many key sectors to a standstill, causing a decline in construction output last year. This year, the construction industry is expected to expand by 2.6% in real terms, supported by gradual economic improvement amid a strong recovery in the manufacturing and export activities, coupled with increased vaccination across the country. The country has benefited from the economic recovery globally and in Europe, as the Czech Republic economy is highly integrated into international value chains with the export-to-GDP ratio among the highest in the European Union (EU) in 2020. However, the construction industry has been affected by rising construction costs due to shortage of materials. According to the CZSO, the average construction work prices rose by to 4.0% year on year (YoY) in the first nine months of 2021.

The industry is expected to register annual growth of 3.1 % between 2022-2025, supported by investment in infrastructure and improvements in business confidence. The industry will also be supported by the Recovery and Resilience Facility funded by the EU, through which the country will allocate CZK12.4 billion (US$584 billion) towards energy sector until 2026. Moreover, in July 2021, European Investment Bank (EIB) announced plans to invest CZK4.9 billion (US$232.4 million) to renovate, upgrade, replace and reorganize regional and municipal infrastructure projects, as well as improve transport and healthcare infrastructure.

GlobalData’s Construction in the Czech Republic – Key Trends and Opportunities to 2025 (H2 2021) report provides detailed market analysis, information, and insights into the Czech construction industry, including –
– The Czech construction industry’s growth prospects by market, project type and construction activity
– Critical insight into the impact of industry trends and issues, as well as an analysis of key risks and opportunities in the Czech construction industry
– Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline.

Scope

This report provides a comprehensive analysis of the construction industry in the Czech Republic. It provides –
– Historical (2016-2020) and forecast (2021-2025) valuations of the construction industry in the Czech Republic, featuring details of key growth drivers.
– Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
– Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
– Listings of major projects, in addition to details of leading contractors and consultants

Reasons to Buy

– Identify and evaluate market opportunities using GlobalData’s standardized valuation and forecasting methodologies.
– Assess market growth potential at a micro-level with over 600 time-series data forecasts.
– Understand the latest industry and market trends.
– Formulate and validate strategy using GlobalData’s critical and actionable insight.
– Assess business risks, including cost, regulatory and competitive pressures.
– Evaluate competitive risk and success factors.