Construction volume fell last year

News
Posted on 23 February 2023, 8:00

According to the preliminary data of Statistics Estonia, in 2022, the total production value of Estonian construction enterprises in Estonia and abroad decreased by 1% compared with a year earlier.

The total production value of construction enterprises was 4.2 billion euros, including 2.8 billion euros’ worth of building construction and 1.4 billion euros’ worth of civil engineering. Compared with 2021, the volume of building construction fell by 6% and the volume of civil engineering works (roads, bridges, port facilities, pipelines, communication and electricity lines, sports fields, etc.) rose by 9%.

Merike Sinisaar, leading analyst at Statistics Estonia, said that the construction market in 2022 was characterised by rapid growth in construction costs. “The domestic construction market was primarily influenced by the decreased volume of building construction. There were fewer building repair and reconstruction works. The volume of new building construction remained at the same level as a year earlier. The increased volume of civil engineering was mainly due to repair and reconstruction works, as the volume of new civil engineering decreased,” Sinisaar noted.

The construction volume of Estonian construction enterprises operating abroad increased by 5% compared with the previous year. There was a fall in building construction and a rise in civil engineering works. Construction in foreign countries accounted for 5% of the total construction volume in 2022 and a year earlier.

According to the Register of Construction Works, 6,521 new dwellings were completed in 2022, which is 3% fewer than the year before. The majority (65%) of the new dwellings are in blocks of flats. The most popular type of building was a 3–5-storeyed block of flats. “Although their share declined slightly last year, this has been the most common housing type for several years. The biggest share of new dwellings had two or four rooms. While four-room dwellings have dominated for years, in 2022 the share of two-room dwellings increased the most,” said Sinisaar.

The average floor area of new dwellings was 87 m2. The majority of completed dwellings are in Tallinn, followed by the rural municipalities in the vicinity of Tallinn, and Tartu county.

Last year, building permits were issued for the construction of 6,763 dwellings, down by nearly a quarter from a year earlier. The most popular type of housing was still a block of flats (a total of 3,941 dwellings, including 2,119 dwellings in 3–5-storeyed blocks of flats).

The number of completed non-residential buildings was 977, with a useful floor area of 666,800 m2. New storage, industrial, and commercial premises accounted for the biggest share of non-residential building construction. Compared with 2021, there was an increase in both the useful floor area and the volume of completed non-residential buildings.

In the fourth quarter of 2022, the production value of Estonian construction enterprises totalled 1.1 billion euros, down by 9% compared with the fourth quarter of 2021. The volume of building construction decreased by 15% and that of civil engineering works increased by 7%.

Change in construction volume index compared with the previous year

Statistics Estonia collects and analyses data to produce the quarterly economic indicators of enterprises. The statistical activity is commissioned by the Ministry of Economic Affairs and Communications in order to understand how the Estonian economy is doing.

See also the construction section on our website.

More detailed data have been published in the statistical database.

For further information:

Helen Maria Raadik
Media Relations Manager
Marketing and Dissemination Department
Statistics Estonia

Tel +372 625 9181
press [at] stat.ee

 

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