Dublin, July 25, 2024 (GLOBE NEWSWIRE) -- The "Estonia Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis, 2024-2028" report has been added to ResearchAndMarkets.com's offering.
Estonian construction industry to grow by 2.1% in real terms in 2024, owing to an improvement in construction activities, coupled with investments in the infrastructure, and energy sectors. The government approved its 2024 Budget in September 2023.
The budget includes an expenditure of EUR17.7 billion ($18.1 billion) in 2024 - which is an increase of 4.9% compared with the 2023 Budget; the 2024 Budget includes an allocation of EUR7.5 billion ($7.7 billion) to the Ministry of Social Affairs; EUR1.5 billion ($1.53 billion) to the Ministry of Defense; EUR1.4 billion ($1.43 billion) to the Ministry of Economic Affairs; EUR1.1 billion ($1.12 billion) to the Ministry of Education, and EUR700 million ($714.8 million) to the Ministry of Regional Affairs.
In the short term, however, the industry's output might be affected by a decline in the number of new dwelling permits authorized in the country, a decline in exports, and an increase in construction prices. According to Statistics Estonia, the total number of dwelling permits issued in the country fell by 22.7% year-on-year (YoY) in the first three quarters of 2023, while the total value of goods' exports fell by 14.8% YoY in the first eleven months of 2023.
Over the remainder of the forecast period, the construction industry is expected to rebound at an annual average growth rate of 5.5% from 2025 to 2028, supported by investments in energy, transport, and housing infrastructure projects, coupled with investments as part of the Railway Development plan (2022-2028).
The Estonian government approved the EUR900 million ($921.5 million) Railway Development Plan in February 2022, with an aim to electrify the existing railway and establish a new traffic control system on the Tallinn-Tapa, Tapa-Narva, Tapa-Tartu, and Tartu-Valga sections. On the Tartu and Narva lines, the track will also be straightened to support the high-speed railway line. In addition to these upgrades, the construction of new railway lines will also be done.
Furthermore, Rail Baltic, which is a company responsible for the implementation of Rail Baltica project, is undertaking the construction of a high-speed railway line connecting Estonia to its neighboring countries. Construction on Estonian section of the line is expected to be completed around 2030 with an estimated cost of approximately EUR3 billion ($3.1 billion), according to the government estimates reported in December 2023.
In another development, Rail Baltic announced tenders worth EUR400 million ($409.6 million) in early January 2024 for the construction and intersections work on the Estonian line up to a total length of 52.6 Kilometers (Km). Construction work on these released tender projects is expected to start by 2024 and conclude by 2028.
Scope
- Historical (2019-2023) and forecast (2024-2028) valuations of the construction industry in Estonia, featuring details of key growth drivers.
- Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
- Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
- Listings of major projects, in addition to details of leading contractors and consultants
Reasons to Buy
- Identify and evaluate market opportunities using the standardized valuation and forecasting methodologies.
- Assess market growth potential at a micro-level with over 600 time-series data forecasts.
- Understand the latest industry and market trends.
- Formulate and validate strategy using the critical and actionable insight.
- Assess business risks, including cost, regulatory and competitive pressures.
- Evaluate competitive risk and success factors.
Key Topics Covered:
1 Executive Summary
2 Construction Industry: At-a-Glance
3 Latest news and developments
4 Project analytics
5 Construction Market Data
6 Risk Profile
7 Appendix
For more information about this report visit https://www.researchandmarkets.com/r/w75an9
About ResearchAndMarkets.com
ResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.
