Investing in housing shrinks further

Investment in housing in 2011 will come to less than one-third of what it was five years ago, an analysis by Alpha Bank has shown, as it is expected to reach 5 billion euros, compared to 16.1 billion euros in 2006.

It is also set to show a 24.2 percent decrease from 2010, when it amounted to 6.6 billion. This drop will contribute to the shrinking of the country?s gross domestic product by 0.8 percent this year.

The analysis expects the decline to continue into next year, with an impact on a variety of sectors such as minerals, electrical equipment, furniture etc.

The volume of new constructions in April declined by 30.3 percent on an annual basis, adding up to a 49.2 percent annual drop in the year to April.