Construction output in the Euro Area increased by 0.7 percent from a year earlier in December of 2018, down from an upwardly revised 1.1 percent rise in the previous month but below market expectations of a 2.1 percent gain. Civil engineering work advanced at a faster rate (5.2 percent from 3 percent in November) while building activity fell (-0.6 percent from 0.7 percent). Considering the fourth quarter of 2018, construction activity climbed 1.4 percent, compared to a 2.2 percent advance in the previous three-month period. On a monthly basis, construction output went down 0.4 percent, after increasing 0.3 percent in November. Construction Output in the Euro Area averaged -0.34 percent from 1996 until 2018, reaching an all time high of 18.40 percent in February of 2000 and a record low of -22.60 percent in February of 1996.
Construction Output in Euro Area is expected to be 2.60 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Construction Output in Euro Area to stand at 1.90 in 12 months time. In the long-term, the Euro Area Construction Output is projected to trend around 2.10 percent in 2020, according to our econometric models.