ECONOMICOUTLOOK
Long-term potential
Non-residential spending in theregion is forecast
to increase +4% in 2014 and +6.2% in 2015.
Brazil has the largest non-residential market, but
Panama will lead growth as it continues to build
the commercial and industrial area surrounding
the Panama Canal. The medium-term outlook
for non-residential spending is for +5.2% growth
over the next five years, with office construction
the strongest and industrial theweakest.
expected over the next five years, accelerating to
+4.2% over the following five years.
In sum, LatinAmerica still offers potential, but
it has ceased to be a world leader. Construction
growth will continue, but performance will be
uneven across the region, and even the stronger
economies need to liberalise to attract sustained
investment. Even so, opportunities exist,
particularly for infrastructure.
iC
IHSGlobal Insight
Recognised as themost consistently accurate
forecasting company in theworld, IHS Global
Insight has over 3,800 clients in industry, finance,
and government with revenues in excess of
US$ 80million, 5,100 employees and 50 offices
around theworld in 30 countries. 80% of Fortune
500 companies are customers of IHS Global Insight.
■
For more information onmatters discussed in
this article or Global Insights’ services, visit
or contact Scott Hazelton
in the US on+1 781 301 9044 or at
And as far as residential construction is
concerned, spending in Latin America increased
+3% year-on-year in 2013, but will fall to +1.1%
growth in 2014 thanks to weak income growth
and the expiration of key housing incentives.
Growth should return to the +3.0% to +3.5%
range in2015 andbeyond.
The medium-term outlook for residential
construction is positive, with +3.9% growth
international
construction
may 2014
18
LatinAmerican construction by sector
Infrastructure
Residential
Non-residential
structures
7%
6%
5%
4%
3%
2%
1%
0%
Total
construction
CAGR2013-2018
CAGR 2008-2013
CAGR2018-2023
TY
RFORMAN
4//,3s$
ROCKDRILLING TOOLS
DEMOLITIONTOOLS
ISO
9001:
2008
QU
h
00
RICHARD PADLEY
AMMER
EMS
PADS
WORL
ESEAR
LOPMENT
DEVELOPMENT
USEMANUFACTURE
PRIDE
1911-2011
/
.
4
S
EL
EN
D
S
T
C
U
T
T
E
A
S
IBU
s#
E
R
S
ST
™
PadleyandVenablesmakesomeof
thefinest toolsavailable in today’s
market. Fact.
We’vespent the last 100years
perfectingourmanufacturing
methodsandourproduction
processes toensureyouhave the
best possibleproductwhere it
mattersmost.Onyour site.
Get in touch today tosee just
howgoodour toolsareand let us
demonstrate just howstrongour
level of service is.
tel: +44 (0) 1246299100
ROCKDRILLINGTOOLS
D OLITIONT OLS
CONTRACTORS’ TOOLS
QUALITYTOOLS.MADE INBRITAIN. PROVENWORLDWIDE.
/
.
4
/
/,3
H
ER
I
T
A
G
E
%
-
/
,
)
4
)
FORTHE
TOUGHEST JOBS
