Construction - February 2008
Growth of construction output raised by civil engineering
Publication Date: 11. 04. 2008
Product Code: r-8202-08
In February 2008 seasonally adjusted total construction output at constant prices was up by 2.4%, compared with January 2008. In comparison to February 2007, output at constant prices grew by 11.5%. The planning and building control authorities granted 8 608 building permits, i.e. by 5.5% more year-on-year. Approximate value of permitted constructions increased by 16.5% year-on-year and reached CZK 29.3 billion.
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Seasonally adjusted total construction output at constant prices grew by 2.4% month-on-month. The trend increased by 0.7% month-on-month (see Table 3).

Total construction output at constant prices increased by 11.5% year-on-year, working days adjusted (WDA) total output grew by 10.3% (February 2008 had one working day more). Civil engineering recorded a high year-on-year growth of construction output in new construction, reconstruction and modernisation, and in repair and maintenance as well. This was due to financially demanding construction of roads and highways including their reconstruction and modernisation. In comparison to February 2007 civil engineering output moderately increased. Construction work abroad dropped for the first time in the period exceeding one year.
Contracted construction work carried out by construction enterprises with 20+ employees increased by 10.9% year-on-year at constant prices. New construction, reconstruction and modernisation recorded an 11.7% increase (contribution 10.2 percentage points), of which building construction grew by 0.5% (contribution 0.3 p.p.) and civil engineering by 46.2% (contribution 9.9 p.p.). Repair and maintenance increased by 11.5% (contribution 0.9 p.p.). Decreases were registered for other work (by 8.3%, contribution ‑0.1 p.p.) and construction work abroad (by 4.9%, contribution ‑0.1 p.p.).
The number of employees in construction enterprises with 20+ employees rose by 0.7%* ) against February 2007. The average monthly nominal wage of employees increased by 16.7% year-on-year and reached CZK 20 859 (real wage increased by 8.6%). The average hourly wage grew by 6.7% year-on-year and stood at CZK 145. Labour productivity per employee increased by 10.1% and labour productivity per hour worked grew by 0.7%.
The planning and building control authorities granted 8 608** ) building permits in February 2008 (of which 5 013 for new constructions and 3 595 for renewals and enhancements). Building permits granted grew by 5.5% year-on-year.
Approximate value of constructions permitted in February 2008 increased by 16.5% in comparison to February 2007 and reached CZK 29.3 billion. New construction is valued at CZK 21.0 billion (up by 18.8%, contribution 13.2 p.p.). Renewals and enhancements will make available constructions worth CZK 8.3 billion (up by 11.1%, contribution 3.3 p.p.).
Approximate value of new construction was differentiated by type of constructions. The highest growth was registered for non-residential buildings (by 56.6%, contribution 11.7 p.p.) and residential buildings (by 27.0%, contribution 5.6 p.p.). The approximate value of environmental constructions and other constructions remained constant and fell year-on-year, respectively.
Approximate value of renewals and enhancements grew in non-residential buildings (by 31.4%, contribution 3.6 p.p.) and in other constructions (by 13.9%, contribution 1.2 p.p.).
The planning and building control authorities permitted the construction of 3 364 dwellings, which was by 395 dwellings more (+13.3%) than in February 2007. Out of that, 2 917 dwellings (up by 345 dwellings) will be obtained by new construction and 447 dwellings (up by 50 dwellings) by renewals and enhancements. The approximate value of newly permitted dwellings in multi-dwelling buildings was CZK 7.0 billion. The planning and building control authorities permitted the construction of buildings with a floor space of 727.3 thousand m 2 (+19.6%), of which floor space of residential buildings increased by 6.4% (contribution 3.4 p.p.) and of non-residential buildings by 34.8% (contribution 16.2 p.p.). The average floor space of a newly constructed dwelling was 110.8 m 2 and the approximate value was CZK 20.7 thousand per m 2.
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According to Eurostat News Release, WDA construction output in the EU27 increased by 0.7% year-on-year in January 2008, of which building construction grew by 0.5% and civil engineering by 1.6%. Among the EU member states for which data were available, the highest increases were observed in Romania (+33.7%), Slovakia (+14.9%), Germany (+7.4%) and Poland (+6.7%). The largest decrease was registered in Spain (‑8.0%).
Note
Contact: Vladimir Zikmund, phone (+420) 274054252, e-mail: vladimir.zikmund@csu.gov.cz
Data source: CZSO direct survey in enterprises with 20+ employees and in planning and building control authorities
End of data collection: 4 April 2008
End of data processing: 9 April 2008
Related publications: /1-ep-8
8201-08 Construction in the Czech Republic
8202-08 Building Notices Received and Building Permits Granted
Data in Table 1 for December and the year 2007 are final. An extraordinary revision was made of data for January 2008. The data for February 2008 are preliminary and will be updated when the News Release for April 2008 is published.
Data in Table 2 are final.
*) Employment indicators are observed in construction enterprises with 20+ employees. The average registered number of employees does not include agency workers.
**) On 1 January 2007, a new Act No. 183/2006 Sb., on Territorial Planning and Building Code (the Building Act), was brought in. It newly resolves, especially in Sections 103 and 104, the problem of “granting building permits”. This new Act may have an impact on absolute values in time series covering new construction and renewals and enhancements, particularly the numbers of building permits and corresponding approximate values for non-residential buildings, environmental constructions and other constructions.