In the first quarter of 2025, provisional data from the Census and Statistics Department revealed mixed trends in the construction sector. The total gross value of construction works (GVCW) performed by main contractors increased nominally by 1.9% year-on-year to $70.5 billion. However, when adjusted for inflation, the GVCW experienced a real decline of 0.9%. Public sector construction showed robust growth, increasing by 17.4% in nominal terms, while the private sector faced challenges with a significant drop of 10.7% in nominal terms.

Public sector projects demonstrated notable strength during this period. The nominal increase of 17.4% brought the GVCW to $30.5 billion, reflecting a real-term rise of 13.8%. This was driven by various initiatives that bolstered infrastructure development. In contrast, the private sector's performance was lackluster, with its GVCW falling to $19.4 billion due to a 10.7% nominal decrease. Economic conditions and market demand likely influenced these contrasting outcomes.

Construction activities beyond traditional sites, such as repairs, maintenance, and electrical installations, totaled $20.6 billion, marking a 3.9% nominal decline compared to the previous year. By project type, residential building works saw a modest 5.0% nominal increase to $20.9 billion, whereas transport-related construction suffered a sharp 19.4% drop to $8.8 billion in nominal terms.

On a seasonally adjusted quarter-to-quarter basis, the total GVCW slightly rose by 0.1% in nominal terms compared to the fourth quarter of 2024 but dipped by 1.0% in real terms. These figures exclude subcontractor-only contributions but include subcontracted work under the main contractors' totals.

The recent statistics underscore the resilience of public sector construction amid broader industry fluctuations. While the overall sector faces inflationary pressures and declining private sector activity, public investments continue to drive growth. This highlights the importance of strategic planning and resource allocation in maintaining a balanced construction landscape.