The cost of construction is growing

An important event was noted in the construction sector of Georgia: in September 2023, an increase in costs was recorded in the country, new statistics from the National Statistics Service of Georgia "Sakstat" are provided. This indicator, reflecting the average level of prices for construction materials and services, is important for assessing the country's investment environment and making strategic decisions in the construction sector.

According to the latest data, the construction cost index (CCI) for September of this year increased by 1.6% compared to August 2023. The average contribution to this growth was an increase in workers' wages by 3, 2% and an increase in transportation, fuel and electricity costs by 5, 8%.

Moreover, the change in these events takes place in a historical context: for the period from August 2023 to February 2022, the development cost index increased by 10.9%. This growth, due to a 28.1% increase in wages and a 6.2% rise in the price of building materials, determines the degree of this macroeconomic indicator for investment and development of the construction industry in the country.