According to the monthly sectoral confidence survey released by the Turkish Statistical Institute (TUIK), the confidence index* for the construction sector in Turkey, which stood at 88.9 points in September this year, decreased by 3.6 percent month on month in October, falling to 85.7 points. This is the third consecutive month in which a decrease on month-on-month basis has been recorded.
According to the indices based on individual questions asked of Turkish construction sector enterprise executives who own private businesses with 10 or more employees, in October this year the confidence index for construction activities recorded in the past three months, which stood at 107.6 points in September, increased by 1.2 percent rising to 108.8 points despite the pessimistic outlook for general sectoral confidence.
According to executives' answers, the index for the written orders received in the construction sector in October increased by 1.6 percent month on month to 72 points. Executives' expectations for sales prices in the next three months decreased by 6.5 percent to 102.8 points.
Meanwhile, players in the sector indicate financing problems and insufficient demand, mainly due to the lack of activities in the construction sector, according to the research results. In October this year, construction business executives said they thought their current work was enough to maintain activities in the sector for 8.2 months.
* Sectoral confidence index values range between zero and 200. When the index is above 100 it indicates an optimistic outlook about the current and the future period of the sector, when it is below 100 it points to a pessimistic outlook.