European Construction Will Keep Growing, But With Less Speed and More Uncertainty

European construction continued its recovery in 2016, although signs of a slowdown started to materialise. On the one hand, international trade declined, which negatively affected economic fundamentals. On the other hand, the uncertain political situation due to Brexit acted as a drag on further economic recovery. These developments were key drivers for the downward revision to 2.0 percent of European construction growth in 2016. The outlook for 2017 to 2019 remains positive, albeit at growth rates of little more than 2 percent.