[size=55:y98mgjqc]Sofia echo 18 August 2010

Construction sector in Bulgaria shrinks by a further 17.5%

Bulgaria is among the three countries in Europe with the steepest decrease in the construction sector – for the tenth month running, according to Eurostat data revealed on August 18 2010.

The construction sector in Bulgaria deflated by further 17.5 per cent in June on annual basis. The only two countries that fared worse in that respect were Hungary and Slovenia with 19.6 and 16.9 per cent respectively.

Bulgarian has performed among Europe's "
worst three countries"
since September 2009. The worst month for the Bulgarian construction was December 2009, where it shrank by 33.3 per cent.

This latest 17.5 per cent dip is in spite of the 0.2 per cent growth in June on a monthly basis from the previous month.

Overall, seasonally adjusted production rose by 2.7 per cent in the euro area EA16 and by 3.5 per cent in the EU27 in June 2010, compared with the previous month. In May, production decreased by 0.7 per cent and 0.1 per cent respectively.

Meanwhile, north of the border, the construction sector in Romania accounted for a 16 per cent growth on monthly basis.

Compared with June 2009, output in June 2010 increased by 3.1 per cent in the euro area and by 5.4 per cent in the EU27.

Among member countries for which data are available for June 2010, construction output rose in five and fell in nine. The highest increases were registered in Spain, 18.6 per cent, followed by the United Kingdom 13.6 per cent and Poland with 10.2 per cent, the report said.

Building construction improved by 6.4 per cent in the euro area and 7.5 per cent in the EU27, after a decline of 5.6 per cent and 2.3 per cent respectively in May. Concurrently, civil engineering dipped by 6.7 per cent in the euro area and by 0.6 per cent in the EU27, following a decline of 9.2 per cent and 3.4 per cent respectively in the previous month, the Eurostat report said.

Bad news this is but this is what happens when companies overbuild, I believe that there should be some control of this type of thing, it seems that when a country joins the EU they automatically think they are going to be another Spain or Cyprus ? what sort of mentality is that :Shocked: