The construction boom in Southern Moravia is in decline, revenues are growing more slowly

Brno - The South Moravian construction companies earned 27 billion crowns in the first half of this year. This is a five percent increase compared to the same period last year. In previous years, however, revenues grew much more. From January to June 2007, their revenues reached 25.7 billion, which was 26 percent more year-on-year. Two years ago, for the same period, it was 20.1 billion crowns, which was 40 percent more than the previous year. This is indicated by data from the Czech Statistical Office.
    Lower revenue increases were recorded by statisticians in other regions as well. Nationwide, revenues grew by 4.9 percent in the first half of the year, while last year it was 15 percent. The highest increases this year are in the Zlin Region, where companies earned 30 percent more year-on-year.
    In construction, 22,000 people were employed in South Moravia in the first half of the year, which is slightly less than last year. Companies are offering salaries above the regional average, which is 25,205 CZK across the region, 12 percent more year-on-year. In Brno, where more than half of all employees in construction work, it was even 29,118 crowns.
    In the coming months, experts expect revenue growth again, as construction of more apartments in South Moravia is starting up again after several months of stagnation. While the first quarter was still weaker compared to last year, since April, there has been a significant increase in newly started constructions, about 40 percent. According to experts, this may indicate another wave of the construction boom, which has weakened in recent months due to rising prices and the anticipated increase in VAT on construction work.