Quarterly construction data compiled and released by the ABS are not considered to be of a “primary” nature in the same way as unemployment (Labour Force) and inflation (CPI) figures. However, the figures are viewed by economists and analysts with interest as they directly feed into quarterly GDP figures.
According to the latest construction figures published by the ABS, the value of construction work has fallen for a third consecutive quarter. Total construction in the March quarter fell by 1.9%, which is less than the flat result expected and slightly less than the revised 2.1% fall in the December quarter. On an annual basis, the growth rate deteriorated from December’s revised figure of -1.5% to -6.0%.
ANZ senior economist Catherine Birch said, “The weakness in residential activity was not a surprise, but public engineering construction contracted for the third consecutive quarter, which is surprising given the large pipeline of public infrastructure spending.