Industry Analysis & Industry Trends
The Municipal Building Construction industry includes a wide range of noncommercial markets, including healthcare, education, religious buildings and government offices. Direct government funding accounts for almost all education and public building construction, while the private sector funds most healthcare construction. On the whole, though, the industry relies heavily on government investment for demand. As such, the industry's performance during the past five years has been tied to the stimulus plan passed in response to the recession in 2009 and, in turn, to the slowdown in public expenditure as the stimulus tapered off and as balancing the federal budget by 2015 became a priority. During the past five years, industry revenue is expected to increase at an annualized rate of 0.1%... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
The Municipal Building Construction industry is in the mature phase of its life cycle, characterized by slow growth or contraction, developed markets and low technology change. Industry value added (IVA), a measure of the industry's contribution to the overall economy, is expected to contract at an annualized rate of 0.1% during the 10 years to 2018, compared with Canadian annualized GDP growth of 2.4% during the same period. This steady position as a component of the larger economy is highly indicative of a mature industry.
Additionally, municipal construction benefits from stable markets. Education, healthcare and welfare spending are tied to government spending and population growth and are only moderately influenced by trends in private investment... purchase to read more