Monday April 27, 2009

Engineering construction to fall markedly despite Government funding boost.
 
The best Federal Government efforts to counter the global financial crisis and associated economic downturn via an infrastructure-led economic stimulus will not be enough to prevent a significant decline in total engineering construction, according to leading industry analyst and economic forecaster BIS Shrapnel.
 
BIS Shrapnel’s Engineering Construction in Australia, 2008/09 – 2022/23 report found that while Federally-funded work is set to increase strongly, it will be more than offset by falling activity from other levels of government and a much larger fall in privately-funded work. In total, BIS Shrapnel is forecasting a decline in engineering construction activity of 20 per cent, which is almost $14 billion in inflation-adjusted prices, in the two years to 2010/11. This decline will come mostly from privately-funded work.

Contact: Damon Roast