Growth & Jobs | Construction industry continues to growth
THE CONSTRUCTION industry continues to figure in Jamaica’s gradual recovery from the economic fallout precipitated by the (COVID-19 pandemic.
The sector is estimated to have grown by 1.7 per cent during the July to September 2021 quarter, relative to the corresponding period last year, and contributed to the goods- producing industry’s 2.8 per cent expansion over the three months.
Director General of the Planning Institute of Jamaica (PIOJ), Dr Wayne Henry, said the out-turn for construction was spurred by growth in the ‘other construction’ and ‘building construction’ components.
This, he added, reflected a 5.6 per cent increase in sales of construction and related inputs.
Civil engineering activities
The director general was speaking during the PIOJ’s digital quarterly media briefing, last Wednesday.
Dr Henry said growth in the ‘other construction’ component resulted from increased capital expenditure on civil engineering activities during the review period.
This was mainly reflected in the National Works Agency’s (NWA) disbursement of $9.1 billion, up from $5.1 billion in the corresponding quarter of 2020.
The director general said the provision largely covered works on the Yallahs to Harbour View leg of the Southern Coastal Highway Improvement Project (SCHIP).
Additionally, Dr Henry said the National Road Operating and Constructing Company Limited disbursed $2.2 billion, as against $1.3 billion in 2020.
“Expenditure facilitated works on the SCHIP part ‘A’; that is, the May Pen in Clarendon to Williamsfield in Manchester component,” he told journalists.
Dr Henry indicated that growth in the ‘building construction’ component was driven mainly by the performance of the non-residential category.
This, he said, reflected hotel construction and renovation activities, as well as the buildout of commercial office space.
The economy is estimated to have grown by an overall 6.3 per cent during the July to September 2021 quarter, with the service industry recording 7.3 per cent and the goods-producing industry, 2.8 per cent.