The latest Irish construction PMI released this morning shows that for March it rose to 60.8 from 57.9, signalling acceleration in growth during the month.
The data shows that Commercial activity posted the strongest rise but there were also sharp gains in housing while civil engineering continued to contract.
New orders expanded sharply and firms increased purchasing activity at the near fastest pace in the survey’s history, marginally below the November 2004 record. Employment continued to grow, albeit at a slower pace, while input price inflation accelerated on the month, highlighting emerging bottlenecks in the sector.
Nonetheless, the survey also signalled bottlenecks emerging while input price inflation accelerated on the month. Respondents cited delays in deliveries and another sharp gain in input prices, accelerating from February. Raw materials, particularly metals, were noted as a particular area of inflation.
Nonetheless, firms remained broadly positive for the year ahead – 57% of respondents predicted growth in activity.
According to Davy Stockbrokers, "Respondents cited delays in deliveries and another sharp gain in input prices, accelerating from February. Raw materials, particularly metals, were noted as a particular area of inflation. Nonetheless, firms remained broadly positive for the year ahead – 57% of respondents predicted growth in activity."
Source: www.businessworld.ie