Analytics, Construction, Good for Business, Latvia, Real Estate

In October, the average level of construction costs was mostly affected by an increase in prices of road construction materials (mostly, of sand and asphalt concrete).

Compared to October 2019, construction costs rose by 1.1 %. Labour remuneration of workers rose by 7.5 %, maintenance and operational costs of machinery and equipment – by 0.7 %, but prices of building materials fell by 1.5 %

Information on changes of construction costs in November 2020 will be published on 29 December. More information on construction cost indices in Latvia is available in the CSB database section "Producer prices – Metadata".

Methodological information

In 2020, the data on prices of construction resources were provided by approximately 200 construction enterprises and more than 50 trade enterprises. When calculating the Construction Cost Index, the prices of building materials submitted by enterprises for the calculation of producer price indices in industry and import price index are also used. Additionally, registered consumer prices of building materials are used in calculations.

The sample includes construction enterprises with the highest value of own account construction works in 2019. The share of enterprises with the value of own account construction work exceeding EUR 1 million per year accounted for 90 %, in 36 % of which the value of own account construction work exceeded EUR 5 million per year. The criterion for the sample of trade enterprises is their turnover and specialisation.

Report on prices of construction resources for October were submitted by 96 % of enterprises; the volume and quality of the data submitted does not differ significantly from previous periods. Overall index of construction costs in October corresponds to statistical basic principles and general quality criteria.