Tuesday, 19 June 2018 | News today: 0

Though stable, construction sector not immune to political crisis


Although the construction sector is stable, it cannot be immune to the ‘protracted’ political crisis. A bulk of the construction companies in Macedonia are already feeling the consequences, which discourages them to launch new investments. If the crisis was not solved in due time, some companies could start laying off workers, it was stated Tuesday at a news conference at the Association of Chambers of Commerce.

However, it was concluded that unlike other industries in the country, the construction sector has proved to be best prepared in addressing the political crisis.

“In recent years, the construction sector has been the backbone of economic growth in Macedonia, which is why perhaps it was fully prepare to respond to the political crisis, and I hope it has overcome it. So far, all parameters point out that the sector is stable. There’s no guarantee it will stay that way if the crisis is prolonged further. The number of construction permits being on the rise, a stable real estate market and lack of price oscillation – all of this indicates the construction sector so far is in sound shape,” said Robert Hot, head of the Chamber of Construction.

According to Adora Engineering CEO, Vanco Chifliganec, the business climate is experiencing a slowdown as a result of the political crisis.

If it remains unresolved, the crisis will directly affect all construction companies, he noted.

“I hope we will come to our senses and realize that we live off of the business, taxes and that the crisis must be settled… The favorable business climate of couple of years ago must be restored. Back then, the municipalities, state institutions, the ministries, etc, were functioning in the interest of the companies and the economy in general,” said Chifliganec.