The Deutsche Bauindustrie (German Construction Industry) has dimmed its outlook for the sector as surging prices for building materials and energy are expected to dampen activity during the course of the year.
The industry group says it expects a development in construction-related sales in the main construction sector of between 0% and -2% in real terms for the course of 2022. Prior to the ongoing issues with inflation and price pressures, they had initially projected real-term growth in sales of 1.5%.
For all the talk about 'peak' inflation, one must be mindful that an inflation 'plateau' instead won't do much to alleviate the ongoing pressure from rising prices on the global economy.
