2023 kicked off with a continuance of load shedding that escalated to an average of stage 4 (from an average of stage 2 in 2022), SARB’s increase of the repo rate to 7.25 percent, lower GDP growth outlook and talks of declaring a national state of disaster. According to Reserve Bank estimates, load shedding is…
The number of companies included in the compilation of the CRMS index, that reported weaker market values for the month, increased to 59 percent from 45 percent in November 2022. This includes 13 companies out of a total of 22. Some of the companies that reported more robust losses during the month include Murray &…
The report highlights three key factors that we consider could have a positive influence on the construction industry in 2023. The full report is now available for download to clients.
The upward trajectory in the index continued, as the index increased by 3.3 percent m-m in January 2023. Since June 2022 the index has now increased by 29 percent. At least 9 higher CIDB Grade projects were released on tender during January. The value of projects awarded also surprised on the upside.
The composite CRMS index compiled by selected JSE listed companies that are involved in the local construction sector, declined by 1.9 percent m-m in January 2023 after ending flat in 2022. The suppliers index (supported by PPC) and the residential property fund index, ended stronger in January, while the composite contractors, retailers and non-residential property…
Liquidations in the construction industry increased by 50 percent y-y in December 2022, 6 percent y-y in Q4 and 32 percent in 2022 against an overall decrease of 1 percent in total liquidations across all sectors.
The mining production index slowed to the lowest level since 2012 (apart from Covid-19 period) as load shedding hits economy hard. November also marks the 10th consecutive month of negative output growth. Mining of building materials fell 3.3 percent, compared to a 22 percent decline in PGM’s.
Fewer liquidations were registered in the construction industry in November, but overall liquidations increased by more than 30 percent y-y for the period up to November 2022.
Treasury released the municipal capital expenditure budgets for the 3-year period from 2022/23 to 2024/25, with rather disappointing results. Other than the City of Cape Town, metro’s have not prioritised infrastructure expenditure over the next three years. During the 2021/22 period metro’s managed to spend 73 percent of their adjusted capital budgets.
Provincial departments increased expenditure on infrastructure in the 3rd quarter of 2022 to the highest level in at least 3 years, the construction labour force expanded by 3.9 percent y-y, while the estimated rand value of civil projects out to tender increased by over 70 percent y-y during the month of October. Approvals for building…
Private sector building approvals weakened during May 2026, with…
What is the Provincial Construction Pipeline? The Provincial Construction…
