In the first quarter of 2026, the IRG SGH construction confidence indicator (CCI) stood at -0.1 points, the same as in the fourth quarter of 2025. On the annual basis, i.e. compared to the first quarter of 2025, the indicator fell by 0.4 points. It was affected by a decline in total orders (by 15.1 points) and an increase in the expected level of employment (by 14.9 points).
After a relatively good Q4 last year the construction industry experienced a clear slowdown in business activity. Output, domestic and export orders, financial situation of construction firms, capacity utilization and investment declined. Cost pressures persist, forcing construction companies to raise prices. According to the survey participants, the overall economic situation in the country is unfavorable, and their assessment of the situation in the industry is negative.
Among the main barriers to business activity, construction companies point primarily to tax burdens (58.5%), instability of legal regulations (57.3%), high prices of raw materials and supplies (45.1%), and strong competition in the industry (42.1%). The current problems in the construction industry are therefore primarily related to demand, costs, and regulations.
Nevertheless, the survey participants are optimistic about their business prospects in the near future. Clearly, the slowdown in the first quarter of 2026 is of seasonal nature. The second quarter is expected to bring about a recovery to the construction industry.
Researches:
Konrad Walczyk, kwalcz1@sgh.waw.pl
Ewa Ratuszny, eratus@sgh.waw.pl