Construction projects seen to hit P1.18 trillion

MANILA, Philippines - Construction projects in the country are seen to rise more than three times next year from this year amid improving investment and economic climate, consultancy firm BCI Asia said.

In its Philippines Construction Market Outlook 2013 released yesterday, it said the value of total construction starts is seen to surge by 264 percent to P1.18 trillion next year from this year’s P324.63 billion.

BCI country director Dean Borg said during the presentation of the report the general outlook for the country’s construction industry next year is positive given improving investment climate as well as strong economic growth.

“The Philippines is in a very bright situation economically,” he said.

Much of the growth next year, the BCI said, would be driven by the civil construction industry.

The value of civil construction starts is seen to surge 692 percent to P560.24 billion next year from this year.

“This is primarily the result of government measures to push the growth of the economy by increasing government expenditure, the growing electricity demand, and the upcoming 2013 election,” it said.

Building construction starts next year are expected to jump by 145 percent to P621.82 billion from this year.

“The increasing market confidence in the construction industry is one of the reasons driving this growth,” BCI said.