Investment outlook encouraging
This was revealed by Reserve Bank’s chief financial systems development and compliance officer Filimone Waqabaca, who said activity in the building and construction industry was favorable during the first quarter of this year, driven by an increase in private sector activity which has offset a decline in public sector activity.
Waqabaca said the value of work put in place by the private sector rose annually by 31 percent in the first three months of this year, owed to more construction of new buildings and capital repairs, and current repairs and maintenance.
Waqabaca added for the months ahead, leading indicators for the sector show a decline in the number and value of building permits issued, but there were increases in both the number and value of building completion certificates in the March quarter.
He said moreover, ongoing projects such as the construction of the US Embassy buildings, Tappoos building, Namaka Complex and Phase 2 of the Natadola project, all bode well for the industry.
Additionally, bank lending for investment purposes, a partial indicator for investment, has maintained positive growth over the past few years, suggesting well for the sector.
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