Latest Release : Construction Market in Belarus - Key Trends and Opportunities to 2018 Share
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Albany, NY -- (SBWire) -- 11/21/2014 --Synopsis
This report provides detailed market analysis, information and insights into the Belarusian construction industry including:
The Belarusian construction industry's growth prospects by market, project type and type of construction activity
Analysis of equipment, material and service costs across each project type in Belarus
Critical insight into the impact of industry trends and issues, and the risks and opportunities they present to participants in the Belarusian construction industry
Profiles of the leading operators in the Belarusian construction industry
Data highlights of the largest construction projects in Belarus
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Executive summary
The Belarusian construction industry posted a compound annual growth rate (CAGR) of 56.10% during the review period (2009?2013). This growth was largely due to government initiatives to improve the investment climate, develop the country’s transport and logistics infrastructure, meet rising demand for new homes, and construct commercial and retail space. Industry growth is expected to remain strong over the forecast period (2014?2018), as a result of government focus on infrastructure and residential construction. Industry output is expected to post a forecast-period CAGR of 15.07%.
Scope:
This report provides a comprehensive analysis of the construction industry in Belarus. It provides:
Historical (2009–2013) and forecast (2014–2018) valuations of the construction industry in Belarus using construction output and value-add methods
Segmentation by sector (commercial, industrial, infrastructure, institutional and residential) and by project type
Breakdown of values within each project type, by type of activity (new construction, repair and maintenance, refurbishment and demolition) and by type of cost (materials, equipment and services)
Analysis of key construction industry issues, including regulation, cost management, funding and pricing
Detailed profiles of the leading construction companies in Belarus
Reasons to buy:
Identify and evaluate market opportunities using Timetric'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 business strategies using Timetric's critical and actionable insight
Assess business risks, including cost, regulatory and competitive pressures
Evaluate competitive risk and success factors
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Key highlights
The Belarusian construction industry has been growing strongly, and recorded growth of 65.2% in 2012 and 77.2% in 2013 in nominal terms. However, since late 2013, construction activity has been fairly limited, with the growth rate expected to moderate to 15.6% in nominal terms at the end of 2014. According to the National Statistical Committee of the Republic of Belarus (Belstat), the index of the number of construction projects increased from 91.4 in 2012 to 104.6 in 2013. This growth was supported by government investment to improve the country’s infrastructure and build affordable homes to meet the rising demand for housing. The forecast-period outlook for construction in Belarus remains optimistic due to low unemployment rates, increasing disposable incomes, a growing population and urbanization.
Retail buildings construction is set to remain buoyant over the forecast period, prompted by strong retail turnover. According to Belstat, the country’s total retail turnover increased to BYR142.8 trillion (US$14.3 billion) during the first half of 2014, an increase of 10.9% as compared to the same period of 2013. Non-food goods accounted for 50.5%, and food goods accounted for 49.5% of retail turnover in the first-half of 2014. In terms of sector, retail trade organizations accounted for 81.1% of turnover, valuing BYR115.8 trillion (US$11.6 billion), while shopping centers accounted for 18.9%, valuing BYR27.0 trillion (US$2.7 billion). This trend will support the growth of retail buildings construction over the forecast period.
In 2010, the government proposed the Energy Strategy to 2020 to develop the country’s energy potential by 2020. The strategy’s main purpose is to reduce dependence on Russia as an energy supplier. Through the current strategy (2011?2020), the government is aiming to provide environmentally friendly energy and has set a target to meet energy demand of 39.3 billion kilowatts per hour (kW/h) in 2015 and 41.8 billion kW/h in 2020 through electricity generation.
The government has allocated considerable sums for social spending as part of its 2014 national budget, amounting to BYR42.1 trillion (US$4.2 billion), which includes BYR18.2 trillion (US$1.8 billion) for education in the first half of 2014. As a result, the number of enrolments in secondary education rose from 928,200 in 2012?2013 to 931,300 in 2013?2014, while the number of specialized secondary institutions rose from 225 in 2012?2013 to 231 in 2013?2014.
The government is introducing various housing-construction measures to attract investors, developers and the wider population. In June 2014, the government signed Decree no. 270, which aims to optimize the cost of residential construction and determine fair prices for both the population and developers. Under the contract, the price of a housing unit and the size of a subsidized loan will be determined by taking into account the price of 1m2; municipal construction companies will be project owners.
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