Cyprus’ construction materials price index recorded a decrease of 1.45 per cent for the period from January to July 2024, when compared to the same period in 2023.

According to a report released by the Cyprus Statistical Service (Cystat), the index reached 117.65 points in July 2021, with 2021 being designated as the base year set at 100 points.

It should be noted that this represents a 0.15 per cent increase compared to June 2024.

Moreover, when compared to July of the previous year, the index experienced a decrease of 0.36 per cent.

When looking into the major product categories, and comparing to the prices recorded in July 2023, price reductions were observed in metal products, which fell by 3.94 per cent.

The report also showed that increases were reported in electromechanical goods by 3.35 per cent, minerals by 0.98 per cent, as well as mineral products, which rose by 0.75 per cent.

Wood products, insulation materials, chemicals, and plastics also experienced a price increase, having risen by 0.54 per cent year-on-year in July 2024.

Meanwhile, the European steel association, EUROFER, said that it expects a 1.4 per cent decline in construction within the European Union in 2024, when compared to 2023.

The previous forecast predicted a 1 per cent decline. This was stated in the association’s economic and steel market outlook 2024-2025 report, for the third quarter of 2024.

It added that in 2025, construction activity is expected to recover by 1.8 per cent year-on-year, compared to previous forecasts of a 2.7 per cent increase.

The association reported that in the first quarter of 2024, construction volumes in the bloc decreased by 2.3 per cent year-on-year, marking the seventh consecutive quarter of decline.

“Rising prices for construction materials, coupled with labour shortages in some EU countries, rising economic uncertainty and, in particular, rising interest rates due to tightening monetary policy, have negatively affected construction volumes in the bloc for the seventh consecutive quarter,” EUROFER said.