Australia’s construction sector Index is undergoing continued contraction
It has been reported that Australia’s construction sector Index is undergoing continued contraction since July. Experts believe that the fall in the index is due to weak customer demand and strong competition for new projects.
The Australian Group/Housing Industry Association Performance of Construction Index is fallen by 3.1 points to stand it at43.3 in July which is even lower than 50 points.
The reasons found responsible for this decline are long leading time between the project development and construction, and as well as tough market conditions are also accountable for this contraction.
AIG director of public policy, Peter Burn said that due to declines in the activity and new orders , consumer and business are more concern and pessimistic on the demand across the industry.
All the above mentioned factors along with the withdrawal of public sector to finance the construction industry are causing as negative factors for the recovery in the broader economy.
New Zealand News
- First deliveries of all-electric Porsche in Australia to take place this weekend
- Crown Resorts suffers record six-month loss due to COVID-19 closures
- Australia’s Crown Resorts 'not suitable' for Sydney gaming license: Inquiry Commission
- What Does Phasing Out Cheques Tell Us About Finance in New Zealand?
- South Korean casino operator GKL closes third casino amid soaring cases of COVID-19