Construction activity, gauged by the value of work completed for infrastructure development, maintenance, and repairs, has experienced a slowdown in the first two quarters of this year. The Westpac Fiji quarterly economic update released this week noted that the year-to-date value of work completed amounted to $244.51 million, showing an 8.9 percent decrease from the same period last year.
Senior economist Shamal Chand pointed out that this decline is due to a lack of momentum in both private and government building initiatives. He also highlighted that the number of new building permits issued in the first half of the year totaled 466, reflecting a 27.4 percent drop compared to the same timeframe last year.
Despite these challenges, Mr. Chand indicated that there are signs of potential growth ahead. He mentioned that according to data from the Reserve Bank of Fiji, cement production and domestic cement sales have risen by 6.6 percent and 7.6 percent, respectively, year-to-date. This increase suggests a robust demand for construction materials, which could lead to a rise in the real value of work completed in the near future.