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Future Activities and Challenges in The Construction Sector Discussed at Association Meeting

10/10/2024

 At their latest session, the members of the Association of Construction, Building Materials, and Non-metal Industries of the Economic Chamber of North Macedonia discussed the current challenges facing the sector from a business perspective, as well as the shortage of skilled labor.

A new construction law and amendments to the Law on Public Procurement are needed, and issues such as prolonged waits for building permits, VAT refunds, delayed invoice payments, and other concerns were highlighted. Association members proposed that these issues be discussed with relevant state institutions in the upcoming period.

Increasing visibility and promoting the construction sector to make it a more attractive career choice for young people is also on the agenda of the Association of Construction, Building Materials, and Non-metal Industries of the Economic Chamber. Members noted that the business sector should make greater efforts in promotion to attract young people to choose construction as a future profession. The relationship between the Economic Chamber, as the representative of the business sector, and education is crucial, and we, as companies in the construction sector, can influence this through presenting best practices and experiences as topics for study and career paths, emphasized the Association President, Andrea Serafimovski.

According to data from the State Statistical Office, the National Bank, and the Ministry of Finance, the construction sector is showing an upward trend, though with low intensity. Salaries in the sector are on the rise, with an average net salary per employee increase of 8.9%, especially in civil engineering, where the increase is 15.4%. However, the number of employees in the second quarter of this year shows a decrease of 12.4%, highlighting the need to retain skilled labor.

According to recent statistics, the number of issued building permits in the second quarter shows a significant drop of 21%, and in civil engineering, even 51%. The Skopje Region, although the most attractive, is showing stagnation, while the Pelagonija Region indicates positive trends.

The Gross Domestic Product, in regard to the production method, is in positive movement at 5.1%, compared to a decline of 14.8% in the same period last year.