Spanish construction sector to pick up by end of 2011

Secretary of State for Economic Affairs, José Manuel Campa, in an appearance before the Spanish Parliament Economy Committee, said he was confident that the construction sector’s contribution to GDP growth will mark a recovery by the end of this year.

He believes that this will be achieved by reducing the ‘stock’ of housing, and also decreasing overpriced housing, which has been estimated at 23%.

Campa said these actions would be “vital in correcting the most urgent macroeconomic imbalances of the economy.”

Campa noted that Spanish real estate purchases are now beginning to exceed the number of finished dwellings for sale so that 2011 is seeing the housing stock starting to come down, albeit gradually.

Source: Kyero.com