Detailed review of current and developing trends in the construction sector including reviews of all nine provinces in South Africa. The report includes a three year rolling provincial forecast based on changes in the estimated value of the potential construction pipeline. The full report, including a detailed provincial dashboard, is now available for download.
Metro’s increased capital expenditure by 10 percent y-y by the 3rd quarter of the current financial year, having spent 44.6 percent of their cumulative annual capital budgets. Capital expenditure on energy sources rose 130 percent y-y with good increases also reported in water management and waste water management. The best performing metro was the City…
The Western Cape was the main contributor supporting an overall increase in the national residential property price index, that rose from 4.9 percent in December 2022 to 5.1 percent in January 2023. Mpumalanga and Limpopo recorded the strongest residential property price growth of between 13 percent and 14 percent respectively. (Source Stats SA)
The composite construction material price index eased to an annual increase of 6.1 percent in April 2023 from 9.1 percent in March. Although some items such as concrete pipes, tiles and ceiling boards recorded higher inflation, majority of materials recorded softer price adjustments.
Cement imports continued to decline, with the index down 6.1 percent m-m in January 2023. The index is based on a moving 12-month average (2010=100). Vietnam remains South Africa’s key trading partner for cement imports.
Highlights of infrastructure and construction expenditure plans, according to the nine provincial state of province addresses delivered in February 2023. The report includes provincial expenditure priorities as announced in 2002, with regards to capital expenditure in buildings, other fixed structures and housing grants. An update of the 2023 budgets will be provided as soon as…
Wholesale trade sales of construction materials increased by 19.2 percent y-y (constant 2021 prices) in January 2023 compared to a 4.1 percent decrease in sales at retailers level. At wholesale level, construction was the 2nd best performing sector during the month, but the 2nd worst performing sector at retail level.
The three-month consecutive weakening in the volume of manufacturing production index (seasonally adjusted), accelerated to a decrease of 4 percent y-y in January 2023, due to weakening in the production of petroleum and chemical products, motor vehicle parts, and basic iron and steel.
Fixed investment in construction increased by 2.7 percent y-y in 2022Q4, the strongest growth since June 2016. Investment growth was broad based across all three market segments. Have we reached the lower turning point and if so, how strong will the anticipated recovery be and for how long? Unpacking these and other indicators in our…
After doing a more detailed analysis of the estimates provided in the Budget, with a focus on infrastructure, we do believe that the 2023 Budget is certainly a more infrastructure friendly budget compared to last year. Challenges however remain in terms of actual expenditure that still requires some form of intervention by national government. Some…
Private sector building approvals weakened during May 2026, with…
What is the Provincial Construction Pipeline? The Provincial Construction…
