Despite a very weak 2010 and a poor start to 2011, the Hungarian construction market will begin its recovery from 2012 onwards, according to a new report by research company PMR.

The company reports in its ‘Construction sector in Hungary 2011 – development forecasts for 2011-2013’, that public infrastructure projects will be the main driver of this growth. The first edition of the report suggests a moderately bright outlook for the construction market for the years 2012-2013.

In 2010, total construction output in Hungary fell by nearly -10%: the monetary value of construction output was just under €6.7bn. A further decline is expected this year but a return to growth should occur in 2012, although this will be minimal. Stronger growth is expected in 2013.

In 2010, cement consumption in Hungary fell from to approximately 2.5m tonnes, down from 4m tonnes in 2008. The 2010 figure is also similar to that which was recorded way back in 1992. PMR does not expect a significant upturn to take place until 2012 and even this will be modest, at around 2-4%.