2000: 3% CONSTRUCTION GROWTH IN ESTONIA

Construction in Estonia will rise with 3 percent in 2000. According to a new report from European Construction Research, this will signify the beginning of significant growth towards the year 2010 and result in growth rates up to 12 percent. The progress on the other side of the year 2000 will be a result of the improved economy of the Estonians themselves as well as the increase in foreign investments.

Service, trade and tourist related sectors such as office, retail and hotel construction will constitute for a larger part of the total construction, whereas the industry of Estonia will have a minor role.

Construction in Estonia

(growth in percent, 1999-2010)

Because of an overheated economy in 1997, which also resulted in over-construction, the growth of the Estonian construction will be close to 0 in 1999. As of 2000, construction will rise again. And with the expected admission in the EU in the second half of 2000, construction will escalate in terms of all sectors. The largest growth rates will be in housing and office construction, whereas the largest and most significant sector, renovation, will rise with low rates but a much larger volume. Civil engineering will also experience growth with the extension of infrastructure in all areas as well as a greater effort in the field of environment.