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The Philippines Construction Market Size, Trends, and Forecasts by Sector - Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis to 2028 (Q4 2024)

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    Report

  • 53 Pages
  • December 2024
  • Region: Philippines
  • GlobalData
  • ID: 5767966
The Construction in the Philippines - Key Trends and Opportunities to 2028 (Q4 2024) report provides detailed market analysis, information and insights into the Philippine construction industry, including:
  • The Philippine construction industry's growth prospects by market, project type and construction activity
  • Critical insight into the impact of industry trends and issues, as well as an analysis of key risks and opportunities in the Philippine construction industry
  • Analysis of the mega-project pipeline, focusing on development stages and participants, in addition to listings of major projects in the pipeline
The Philippine construction industry is estimated to expand by 10.7% in real terms in 2024, supported by investment in infrastructure and energy development. According to the Philippine Statistics Authority (PSA), the construction industry’s value-add rose by 9% year on year (YoY) in Q3 2024, following YoY growths of 16.1% in Q2 and 7% in Q1 2024. According to the Bangko Sentral ng Pilipinas (BSP), the average value of the Philippine banking system’s loans outstanding for construction by 13.4% YoY during the first eight months of 2024, preceded by an annual growth of 8.9% in 2023. In October 2024, the government reported that five projects with a combined value of PHP28 billion ($505.8 million) are expected to be awarded by the end of 2024 or early 2025, which includes upgradation of New Bohol International Airport in Panglao, and the construction of a 300-bed cancer hospital in Manila among others. However, high construction material prices, rising debt, falling Foreign Direct Investment (FDI), coupled with a cancellation of major projects can pose a downside risk to the construction industry over the short term. According to the Board of Investments (BOI), the total FDI received in the country fell by 1.8% YoY in the first three quarters of 2024, falling from PHP494.8 billion ($8.9 billion) in Q1-Q3 2023 to PHP485.9 billion ($8.8 billion) in Q1-Q3 2024.

The analyst expects the construction industry in the Philippines to register an annual average growth rate of 7.1% between 2025 and 2028, supported by investment in housing, infrastructure, and energy projects. The government plans to increase the share of renewable energy in its total power mix from 24% in 2020 to 35% by 2030 and 50% by 2040. The Board of Investments of the Philippines reported that through the 'green lane certificate', under which projects receive faster permits approval; it has endorsed 128 energy projects worth PHP3.9 trillion ($70.6 billion) as of September 2024

Scope

This report provides a comprehensive analysis of the construction industry in the Philippines. It provides:

  • Historical (2019-2023) and forecast (2024-2028) valuations of the construction industry in the Philippines featuring details of key growth drivers.
  • Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
  • Analysis of the mega-project pipeline, including breakdowns by development stage across all sectors, and projected spending on projects in the existing pipeline.
  • Listings of major projects, in addition to details of leading contractors and consultants

Reasons to Buy

  • Identify and evaluate market opportunities using our standardized valuation and forecasting methodologies
  • Assess market growth potential at a micro-level with over 600 time-series data forecasts
  • Understand the latest industry and market trends
  • Formulate and validate business strategies using the analyst's critical and actionable insight
  • Assess business risks, including cost, regulatory and competitive pressures
  • Evaluate competitive risk and success factors

Table of Contents

1 Executive Summary2 Construction Industry: At-a-Glance
3 Context
3.1 Economic Performance
3.2 Political Environment and Policy
3.3 Demographics
3.4 Risk Profile
4 Construction Outlook
4.1 All Construction
  • Outlook
  • Latest news and developments
  • Construction Projects Momentum Index
4.2 Commercial Construction
  • Outlook
  • Project analytics
  • Latest news and developments
4.3 Industrial Construction
  • Outlook
  • Project analytics
  • Latest news and developments
4.4 Infrastructure Construction
  • Outlook
  • Project analytics
  • Latest news and developments
4.5 Energy and Utilities Construction
  • Outlook
  • Project analytics
  • Latest news and developments
4.6 Institutional Construction
  • Outlook
  • Project analytics
  • Latest news and developments
4.7 Residential Construction
  • Outlook
  • Project analytics
  • Latest news and developments
5 Key Industry Participants
5.1 Contractors
5.2 Consultants
6 Construction Market Data
7 Appendix
7.1 What is this Report About?
7.2 Definitions
7.3 CRI Methodology
About the Analyst
  • Contact the Publisher
List of Tables
Table 1: Construction Industry Key Data
Table 2: The Philippines, Key Economic Indicators
Table 3: The Philippines, Commercial Construction Output by Project Type (Real % Change), 2019-28
Table 4: The Philippines, Top Commercial Construction Projects by Value
Table 5: The Philippines, Industrial Construction Output by Project Type (Real % Change), 2019-28
Table 6: The Philippines, Top Industrial Construction Projects by Value
Table 7: The Philippines, Infrastructure Construction Output by Project Type (Real % Change), 2019-28
Table 8: The Philippines, Top Infrastructure Construction Projects by Value
Table 9: The Philippines, Energy and Utilities Construction Output by Project Type (Real % Change), 2019-28
Table 10: The Philippines, Top Energy and Utilities Construction Projects by Value
Table 11: The Philippines, Institutional Construction Output by Project Type (Real % Change), 2019-28
Table 12: The Philippines, Top Institutional Construction Projects by Value
Table 13: The Philippines, Residential Construction Output by Project Type (Real % Change), 2019-28
Table 14: The Philippines, Top Residential Construction Projects by Value
Table 15: The Philippines, Key Contractors
Table 16: The Philippines, Key Consultants
Table 17: The Philippines, Construction Output Value (Real, $ Million)
Table 18: The Philippines, Construction Output Value (Nominal, PHP Billion)
Table 19: the analyst Construction Market Definitions
Table 20: Risk Dimensions
Table 21: Ratings, Scores and Definitions
List of Figures
Figure 1: South-East Asia, Construction Output (Real % Change), 2022-28
Figure 2: The Philippines, Construction Output by Sector (Real % Change), 2022-24 and 2025-28
Figure 3: The Philippines, Risk Summary
Figure 4: The Philippines, Risk Regional Comparison
Figure 5: The Philippines, Construction Output Value (Real, $ Million, 2022 Prices and Exchange Rate), 2019-28
Figure 6: The Philippines, Construction Output Value, by Sector (Real, $ Million), 2019-28
Figure 7: The Philippines, Construction Value-Add (PHP Billion, 2018 Constant Prices)
Figure 8: The Philippines, Gross Fixed Capital Formation in Construction (PHP Billion, 2018 Constant Prices)
Figure 9: The Philippines, Construction Materials Retail Price Index in the National Capital Region (2012=100)
Figure 10: The Philippines, Loans Outstanding for Construction (PHP Billion)
Figure 11: The Philippines, Construction Projects Momentum Index
Figure 12: South-East Asia, Construction Projects Momentum Index
Figure 13: The Philippines, Commercial Construction Output by Project Type (Real, $ Million), 2019-28
Figure 14: The Philippines, Commercial Construction Projects Pipeline, Value by Stage ($ Million)
Figure 15: The Philippines, Accommodation and Food Service Activities Value-Add (PHP Billion, 2018 Constant Prices)
Figure 16: The Philippines, Loans Outstanding for Accommodation and Food Service Activities (PHP Billion)
Figure 17: The Philippines, Wholesale and Retail Trade Value-Add, at 2018 Constant Prices, % Change YoY
Figure 18: The Philippines, Industrial Construction Output by Project Type (Real, $ Million), 2019-28
Figure 19: The Philippines, Industrial Construction Projects Pipeline, Value by Stage ($ Million)
Figure 20: The Philippines, Mining and Quarrying Value-Add (PHP Billion, 2018 Constant Prices)
Figure 21: The Philippines, Manufacturing Value-Add (PHP Billion, 2018 Constant Prices)
Figure 22: The Philippines, Loans Outstanding for Manufacturing (PHP Billion)
Figure 23: The Philippines, Total Exports ($ Billion)
Figure 24: The Philippines, Infrastructure Construction Output by Project Type (Real, $ Million), 2019-28
Figure 25: The Philippines, Infrastructure Construction Projects Pipeline, Value by Stage ($ Million)
Figure 26: The Philippines, Transportation and Storage Value-Add (PHP Billion, 2018 Constant Prices)
Figure 27: The Philippines, Loans Outstanding for Transportation and Storage (PHP Billion)
Figure 28: The Philippines, Energy and Utilities Construction Output by Project Type (Real, $ Million), 2019-28
Figure 29: The Philippines, Energy and Utilities Construction Projects Pipeline, Value by Stage ($ Million)
Figure 30: The Philippines, Electricity Generation, Steam, Water, and Waste Management Value-Add (PHP Billion, 2018 Constant Prices)
Figure 31: The Philippines, Information and Communication Value-Add (PHP Billion, 2018 Constant Prices)
Figure 32: The Philippines, Loans Outstanding for Electricity, Gas, Steam and Air-Conditioning Supply (PHP Billion)
Figure 33: The Philippines, Institutional Construction Output by Project Type (Real, $ Million), 2019-28
Figure 34: The Philippines, Institutional Construction Projects Pipeline, Value by Stage ($ Million)
Figure 35: The Philippines, Education Value-Add (PHP Billion, 2018 Constant Prices)
Figure 36: The Philippines, Human Health and Social Work Activities Value-Add (PHP Billion, 2018 Constant Prices)
Figure 37: The Philippines, Loans Outstanding for Education (PHP Billion)
Figure 38: The Philippines, Loans Outstanding for Human Health and Social Work Activities (PHP Billion)
Figure 39: The Philippines, Residential Construction Output by Project Type (Real, $ Million), 2019-28
Figure 40: The Philippines, Residential Construction Projects Pipeline, Value by Stage ($ Million)
Figure 41: The Philippines, Real estate and Ownership of Dwellings Value-Add (PHP Billion, 2018 Constant Prices)
Figure 42: The Philippines, Loans Outstanding for Real Estate Activities (PHP Billion)
Figure 43: The Philippines, Headquarters of Key Contractors (% of Total Project Pipeline)
Figure 44: The Philippines, Headquarters of Key Consultants (% of Total Project Pipeline)