On May 19, the President of the National Expert Construction Alliance of Ukraine, Viktor Leshchynsky, answered questions from journalists of the “Pershy Dilovy” TV channel regarding current issues of the construction market, its current state and prospects
We offer several theses from this interview regarding the most pressing issues.
Regarding the fall in the construction market predicted by the State Statistics Service
The construction market has expectedly slumped, and this happened not only because of the coronavirus pandemic, but also because of the economic situation in Ukraine, which began to develop even before the start of quarantine. According to Viktor Leshchynsky, the commercial real estate sector will slightly slow down its development, but the residential construction sector will suffer more. In addition, the situation when supply exceeds demand has developed in the residential real estate market even earlier.
An increase in the cost of services in the commercial real estate market can be expected by autumn.
A slowdown in development awaits industrial facilities. After all, this trend has developed over the past few years. Almost no funds are invested in industrial facilities.
Agricultural facilities are being built more actively, and there is a tendency that they will continue to be invested in.
State facilities will also suffer.
Only road construction and repair is progressing at a good level.
Problems of long-term construction
It’s sad to say, but quarantine will cause new long-term construction projects to appear. The deadlines for putting facilities into operation will be delayed by at least a year.
DABI Reform
The reform of the DABI system is more of a nominal nature. There is no significant difference between what was and what will be. There will be the same DABI, whose powers will be divided between several newly created bodies.
You can watch the full interview here. source link
