Turkish construction sector confidence index declines in June

Friday, 24 June 2011 15:59:36 (GMT+3)   |  

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 99.54 points in May this year, decreased by 1.73 percent month on month in June, falling to 97.82 points.


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 June this year the confidence index for construction activities recorded in the past three months, which stood at 109.8 points in May, increased by 4.8 percent rising to 114.28 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 June increased by 3.36 percent month on month rising to 72.51 points. Executives' expectations for sales prices in the next three months decreased by 2.61 percent falling to 116.03 points.


Meanwhile, players in the sector indicate financing problems and insufficient demand for the main reason of the lack of activities in the construction sector, according to the research results. In April, construction business executives said they thought their current work was enough to maintain activities in the sector for seven 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.


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