La Jornada – In 2021 the construction sector will grow by 9%: BBVA Mexico

The construction sector, which contributes just over 6 percent of GDP, will grow this year at an annual rate of 9 percent, primarily driven by a better outlook for activity, a rise in employment and a recovery in the economy. Building, BBVA Mexico confirmed.

Presenting the Real Estate Situation report, Carlos Serrano, Chief Economist at BBVA Mexico, emphasized that the outlook for the sector for the remainder of the year is favourable, although there are risks related to scarcity of inputs and lack of investment. Physics in infrastructure projects.

“Construction could grow by 9 percent this year, the country’s prospects for improvement have grown due to the rush of the US economy, and there is a willingness to invest on the part of builders in Mexico. The recovery will come from construction, from increased business and from e-commerce,” the economist highlighted Light in a video conference.

According to Inegi, the construction sector declined by 12.4% in 2020 and a year ago, before the pandemic, the decline in these activities was 4.1%.

Meanwhile, up to the end of the first semester of the year, a total of 446,325 people are employed in the sector, while the value of production generated by construction companies registered a decline of 0.9 percent in real terms in June of this year compared to the previous month. .

In this sense, Serrano argued that the construction sector, which advanced through June at an annual rate of 9.7 percent and that employment levels are already in the same ranges as they were before the health crisis, has boosted this sector of the economy.

In turn, he noted that the fact that e-commerce has gained ground from the most dangerous stage of confinement has led to “the largest construction of logistics centers all over the world.”