The evolution of the Spanish construction market in 2020


The growth forecast for the construction sector in the last report by the Bank of Spain marked the sector’s growth at 1.6%, 2.3 points less than the forecast for the month of September. In 2021, growth is forecasted to recuperate and exceed 2%.

The change of year is a good time to study the evolution of the different business sectors and calculate forecasts for the near future. As for the construction sector, it is estimated that 2020 will be a year in which growth will maintain itself or it will be slight compared to previous years. This data is based on global economic factors such as data in favor of the creation of employment and recuperation of salaries.

The principal indicator of the state of the construction sector is the demand in the housing market and the estimations of this demand in 2020 show sustainable growth. Residential housing, apartment buildings, neighborhoods and the like will grow around 6% during the next year and are expected to maintain this growth during at least two more years. This data comes from the increase in population and migratory movements.

The indicators of non-residential buildings are not so optimistic, although they are also positive. They are estimated to grow 4%, especially in office buildings and the logistical sector. The lowest growth indicator is found in civil works, which stands at 2%. The political instability of recent times has slowed down planning of civil engineering works and great changes are not expected in urban infrastructures such as roads and bridges.

Other data that offers a general overview of the state of the construction sector are the number of workers in the sector, which is estimated to grow 1.5%, 5% less than that registered in 2019, sales, which are forecasted to surpass the barrier of 525,000, and also new building work permits, which are around 115,000.

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