Financial Mirror (Cyprus)

Cost of building materials spike 17%


The cost of building materials in Cyprus continues to rise, while the Central Bank warned the war in Ukraine will only make things worse for the constructi­on industry.

According to data from the Cyprus Statistica­l Service, the Price Index of Constructi­on Materials, recorded a significan­t increase of 17.68% in the first quarter of the year. Increases were recorded across the board, from steel, cement, sand, stone aggregates and wood-based materials have seen big price increases of 19.08% in March from 2021.

There were large price increases for metals, wood products, insulation, chemicals, and plastics, and electromec­hanical items.

By main commodity category, increases were recorded in metallic products (31.60%), products of wood, insulation materials, chemicals, and plastics (20.87%), electromec­hanical products (14.79%), minerals (7.38%) and mineral products (6.68%).

Cyprus Central Bank said the war in Ukraine and supply chain problems affecting internatio­nal trade are expected to push real estate constructi­on costs even higher, which could also negatively affect demand.

According to the Central Bank of Cyprus (CBC), the annual cost of building materials has gone up by 17.3% in March compared to last year.

This will also affect housing and business loans related to the constructi­on industry.

CBC said property prices in Cyprus have not shown the same upward trends observed in other Eurozone countries, except for luxury apartments in Limassol.

Newspapers in English

Newspapers from Cyprus