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Construction in Hungary – Key Trends and Opportunities to 2021

Construction in Hungary – Key Trends and Opportunities to 2021

Synopsis

Construction activity in Hungary was weak during 2016, owing to the effects of the economic recession. This had an adverse impact on business confidence, which in turn reduced the pace of investment in construction projects.

The industry is expected to expand over the forecast period (2017–2021), supported by a gradual improvement in regional economic conditions, coupled with a resurgence in both investor and consumer confidence. This is expected to add momentum to the flow of investments into construction projects.

The industry’s expansion is expected to be supported by public sector investments in transport infrastructure projects as the government aims to revamp economic growth. Additionally, positive developments in the tourism and retail sectors and the expansion of the manufacturing sector are also expected to contribute to the industry’s expansion over the forecast period.

The industry’s output value in real terms recorded a compound annual growth rate (CAGR) of 0.07% during the review period (2012–2016) and is expected to post a CAGR of 6.25% over the forecast period.

Summary

Timetric’s Construction in Hungary – Key Trends and Opportunities to 2021 report provides detailed market analysis, information and insights into the Hungarian construction industry, including:

  • The Hungarian construction industry's growth prospects by market, project type and construction activity
  • Analysis of equipment, material and service costs for each project type in Hungary
  • Critical insight into the impact of industry trends and issues, and the risks and opportunities they present to participants in the Hungarian construction industry
  • Profiles of the leading operators in the Hungarian construction industry
Scope

This report provides a comprehensive analysis of the construction industry in Hungary. It provides:
  • Historical (2012-2016) and forecast (2017-2021) valuations of the construction industry in Hungary using construction output and value-add methods
  • Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by project type
  • Breakdown of values within each project type, by type of activity (new construction, repair and maintenance, refurbishment and demolition) and by type of cost (materials, equipment and services)
  • Analysis of key construction industry issues, including regulation, cost management, funding and pricing
  • Detailed profiles of the leading construction companies in Hungary
Reasons To Buy
  • Identify and evaluate market opportunities using Timetric's standardized valuation and forecasting methodologies.
  • Assess market growth potential at a micro-level with over 600 time-series data forecasts.
  • Understand the latest industry and market trends.
  • Formulate and validate strategy using Timetric's critical and actionable insight.
  • Assess business risks, including cost, regulatory and competitive pressures.
  • Evaluate competitive risk and success factors.
Key Highlights
  • In April 2017, the Ministry of National Economy initiated the construction of the M4 dual carriageway towards the southeast of Budapest. The project includes the construction of a 44.0km-long roads which will establish a connection between the cities of Üllő and Cegléd. The project is expected to be implemented in two phases, with construction scheduled to be completed by 2019.
  • As a result of the Family Housing Allowance program launched in July 2015, there has been a significant increase in the number of new residential building permits. According to Hungarian Central Statistical Office, the total number of new residential building permits issued in the country rose drastically by 87.0%, going from 6,526 in 2015 to 12,206 in 2016.
  • In line with the growing demand for accommodation in higher education institutions, in December 2016 the government announced plans to invest HUF192.6 billion (US$689.4 million) to construct new buildings in colleges.
  • The European Union (EU) has played a vital role in funding major infrastructure projects in the country in recent years. In April 2017, the EU announced plans to allocate HUF10.0 billion (US$34.4 million) as financial aid for three projects to be developed by the Hungarian Gas Transport Cluster Association.
  • Under the National Info-communication Strategy 2014–2020, the government aims to develop the country’s digital infrastructure. As a part of the initiative, the government aims to equip the country with Next-Generation Access networks with a minimum speed of 30.0Mbps by 2018. This is expected to attract several private investments in broadband network upgrade projects.


  • Executive Summary
  • Industry Outlook
    • Commercial Construction
    • Industrial Construction
    • Infrastructure Construction
    • Energy and Utilities Construction
    • Institutional Construction
    • Residential Construction
  • Key Issues and Developments
  • Market Data Analysis
    • Construction Output and Value Add
      • Construction output by project type
        • Table Hungarian Construction Output by Project Type (HUF Million), 2012–2016
        • Table Hungarian Construction Output by Project Type (HUF Million), 2016–2021
      • Construction output by cost type
        • Table Hungarian Construction Output by Cost Type (HUF Million), 2012–2016
        • Table Hungarian Construction Output by Cost Type (HUF Million), 2016–2021
      • Construction output by activity type
        • Table Hungarian Construction Output by Activity Type (HUF Million), 2012–2016
        • Table Hungarian Construction Output by Activity Type (HUF Million), 2016–2021
      • Construction value add by project type
        • Table Hungarian Construction Value Add by Project Type (HUF Million), 2012–2016
        • Table Hungarian Construction Value Add by Project Type (HUF Million), 2016–2021
    • Commercial Construction
      • Commercial construction output by project type
        • Table Hungarian Commercial Construction Output by Project Type (HUF Million), 2012–2016
        • Table Hungarian Commercial Construction Output by Project Type (HUF Million), 2016–2021
      • Commercial construction output by cost type
        • Table Hungarian Commercial Construction Output by Cost Type (HUF Million), 2012–2016
        • Table Hungarian Commercial Construction Output by Cost Type (HUF Million), 2016–2021
      • Commercial construction output by activity type
        • Table Hungarian Commercial Construction Output by Activity Type (HUF Million), 2012–2016
        • Table Hungarian Commercial Construction Output by Activity Type (HUF Million), 2016–2021
      • Commercial construction value add by project type
        • Table Hungarian Commercial Construction Value Add by Project Type (HUF Million), 2012–2016
        • Table Hungarian Commercial Construction Value Add by Project Type (HUF Million), 2016–2021
    • Industrial Construction
      • Industrial construction output by project type
        • Table Hungarian Industrial Construction Output by Project Type (HUF Million), 2012–2016
        • Table Hungarian Industrial Construction Output by Project Type (HUF Million), 2016–2021
      • Industrial construction output by cost type
        • Table Hungarian Industrial Construction Output by Cost Type (HUF Million), 2012–2016
        • Table Hungarian Industrial Construction Output by Cost Type (HUF Million), 2016–2021
      • Industrial construction output by activity type
        • Table Hungarian Industrial Construction Output by Activity Type (HUF Million), 2012–2016
        • Table Hungarian Industrial Construction Output by Activity Type (HUF Million), 2016–2021
      • Industrial construction value add by project type
        • Table Hungarian Industrial Construction Value Add by Project Type (HUF Million), 2012–2016
        • Table Hungarian Industrial Construction Value Add by Project Type (HUF Million), 2016–2021
    • Infrastructure Construction
      • Infrastructure construction output by project type
        • Table Hungarian Infrastructure Construction Output by Project Type (HUF Million), 2012–2016
        • Table Hungarian Infrastructure Construction Output by Project Type (HUF Million), 2016–2021
      • Infrastructure construction output by cost type
        • Table Hungarian Infrastructure Construction Output by Cost Type (HUF Million), 2012–2016
        • Table Hungarian Infrastructure Construction Output by Cost Type (HUF Million), 2016–2021
      • Infrastructure construction output by activity type
        • Table Hungarian Infrastructure Construction Output by Activity Type (HUF Million), 2012–2016
        • Table Hungarian Infrastructure Construction Output by Activity Type (HUF Million), 2016–2021
      • Infrastructure construction value add by project type
        • Table Hungarian Infrastructure Construction Value Add by Project Type (HUF Million), 2012–2016
        • Table Hungarian Infrastructure Construction Value Add by Project Type (HUF Million), 2016–2021
    • Energy and Utilities Construction
      • Energy and utilities construction output by project type
        • Table Hungarian Energy and Utilities Construction Output by Project Type (HUF Million), 2012–2016
        • Table Hungarian Energy and Utilities Construction Output by Project Type (HUF Million), 2016–2021
      • Energy and utilities construction output by cost type
        • Table Hungarian Energy and Utilities Construction Output by Cost Type (HUF Million), 2012–2016
        • Table Hungarian Energy and Utilities Construction Output by Cost Type (HUF Million), 2016–2021
      • Energy and utilities construction output by activity type
        • Table Hungarian Energy and Utilities Construction Output by Activity Type (HUF Million), 2012–2016
        • Table Hungarian Energy and Utilities Construction Output by Activity Type (HUF Million), 2016–2021
      • Energy and utilities construction value add by project type
        • Table Hungarian Energy and Utilities Construction Value Add by Project Type (HUF Million), 2012–2016
        • Table Hungarian Energy and Utilities Construction Value Add by Project Type (HUF Million), 2016–2021
    • Institutional Construction
      • Institutional construction output by project type
        • Table Hungarian Institutional Construction Output by Project Type (HUF Million), 2012–2016
        • Table Hungarian Institutional Construction Output by Project Type (HUF Million), 2016–2021
      • Institutional construction output by cost type
        • Table Hungarian Institutional Construction Output by Cost Type (HUF Million), 2012–2016
        • Table Hungarian Institutional Construction Output by Cost Type (HUF Million), 2016–2021
      • Institutional construction output by activity type
        • Table Hungarian Institutional Construction Output by Activity Type (HUF Million), 2012–2016
        • Table Hungarian Institutional Construction Output by Activity Type (HUF Million), 2016–2021
      • Institutional construction value add by project type
        • Table Hungarian Institutional Construction Value Add by Project Type (HUF Million), 2012–2016
        • Table Hungarian Institutional Construction Value Add by Project Type (HUF Million), 2016–2021
    • Residential Construction
      • Residential construction output by project type
        • Table Hungarian Residential Construction Output by Project Type (HUF Million), 2012–2016
        • Table Hungarian Residential Construction Output by Project Type (HUF Million), 2016–2021
      • Residential construction output by cost type
        • Table Hungarian Residential Construction Output by Cost Type (HUF Million), 2012–2016
        • Table Hungarian Residential Construction Output by Cost Type (HUF Million), 2016–2021
      • Residential construction output by activity type
        • Table Hungarian Residential Construction Output by Activity Type (HUF Million), 2012–2016
        • Table Hungarian Residential Construction Output by Activity Type (HUF Million), 2016–2021
      • Residential construction value add by project type
        • Table Hungarian Residential Construction Value Add by Project Type (HUF Million), 2012–2016
        • Table Hungarian Residential Construction Value Add by Project Type (HUF Million), 2016–2021
  • Company Profile: Fõmterv Mernoki Tervezo Zrt
    • Fõmterv Mernoki Tervezo Zrt – Company Overview
      • Table Fõmterv Mernoki Tervezo Zrt, Key Facts
    • Fõmterv Mernoki Tervezo Zrt – Main Services
      • Table Fõmterv Mernoki Tervezo Zrt, Main Services
    • Fõmterv Mernoki Tervezo Zrt – History
      • Table Fõmterv Mernoki Tervezo Zrt, History
    • Fõmterv Mernoki Tervezo Zrt – Company Information
      • Fõmterv Mernoki Tervezo Zrt – key competitors
      • Fõmterv Mernoki Tervezo Zrt – key employees
        • Table Fõmterv Mernoki Tervezo Zrt, Key Employees
  • Company Profile: Soltut Utepito Fenntarto Es Kereskedelmi Kft
    • Soltut Utepito Fenntarto Es Kereskedelmi Kft – Company Overview
      • Table Soltut Utepito Fenntarto Es Kereskedelmi Kft, Key Facts
    • Soltut Utepito Fenntarto Es Kereskedelmi Kft – Main Services
      • Table Soltut Utepito Fenntarto Es Kereskedelmi Kft, Main Services
    • Soltut Utepito Fenntarto Es Kereskedelmi Kft – History
      • Table Soltut Utepito Fenntarto Es Kereskedelmi Kft, History
    • Soltut Utepito Fenntarto Es Kereskedelmi Kft – Company Information
      • Soltut Utepito Fenntarto Es Kereskedelmi Kft – key competitors
      • Soltut Utepito Fenntarto Es Kereskedelmi Kft – key employees
        • Table Soltut Utepito Fenntarto Es Kereskedelmi Kft, Key Employees
  • Company Profile: Rutin Kft
    • Rutin Kft – Company Overview
      • Table Rutin Kft, Key Facts
    • Rutin Kft – Main Services
      • Table Rutin Kft, Main Services
    • Rutin Kft – History
      • Table Rutin Kft, History
    • Rutin Kft – Company Information
      • Rutin Kft – key competitors
  • Company Profile: M-Híd Mûszaki Szolgáltató Zrt
    • M-Híd Mûszaki Szolgáltató Zrt – Company Overview
      • Table M-Híd Mûszaki Szolgáltató Zrt, Key Facts
    • M-Híd Mûszaki Szolgáltató Zrt – Main Services
      • Table M-Híd Mûszaki Szolgáltató Zrt, Main Services
    • M-Híd Mûszaki Szolgáltató Zrt – Company Information
      • M-Híd Mûszaki Szolgáltató Zrt – key competitors
      • M-Híd Mûszaki Szolgáltató Zrt – key employees
        • Table M-Híd Mûszaki Szolgáltató Zrt, Key Employees
  • Company Profile: Aquaplus Kutfuro, Epito es Termalenergetikai Kft
    • Aquaplus Kútfúró, Építõ és Termál-energetikai Kft – Company Overview
      • Table Aquaplus Kútfúró, Építõ és Termál-energetikai Kft, Key Facts
    • Aquaplus Kútfúró, Építõ és Termál-energetikai Kft – Main Services
      • Table Aquaplus Kútfúró, Építõ és Termál-energetikai Kft, Main Services
    • Aquaplus Kútfúró, Építõ és Termál-energetikai Kft – History
      • Table Aquaplus Kútfúró, Építõ és Termál-energetikai Kft, History
    • Aquaplus Kútfúró, Építõ és Termál-energetikai Kft – Company Information
      • Aquaplus Kútfúró, Építõ és Termál-energetikai Kft – key competitors
      • Aquaplus Kútfúró, Építõ és Termál-energetikai Kft – key employee
        • Table Aquaplus Kútfúró, Építõ és Termál-energetikai Kft, Key Employees
  • Appendix
    • What is this Report About?
    • Definitions
      • Table Timetric Construction Market Definitions
    • Methodology
    • Contact Timetric
    • About Timetric
    • Timetric's Services
    • Disclaimer

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