Construction price index increased in the previous year
According to Statistics Estonia, in 2008 compared to the average of the previous year, the percentage change of the construction price index was 3.4%. The index was mainly influenced by the decrease in the labour costs.
The annual change of the construction price index was so low last in 2000 when it was 2.5%. During the construction boom in 2006 and 2007 compared to the previous year, the construction price index changed 12.7% and 10.3%, respectively.
In the 4th quarter of 2008 the percentage change of the construction price index was –1.5% compared to the 3rd quarter and 0.5% compared to the 4th quarter of 2007. In the 4th quarter compared to the 3rd quarter and to the 4th quarter of the previous year, the construction price index was primarily influenced by the decrease in the labour costs.
In the 4th quarter the change of the repair and reconstruction work price index was -1.5% compared to the 3rd quarter and 0.7% compared to the 4th quarter of 2007. In 2008 the change of the repair and reconstruction work price index was 4.0% compared to the average of 2007.
The calculation of the construction price index covers four groups of buildings — detached houses, blocks of flats, industrial buildings and office buildings, as well as office buildings covered by the repair and reconstruction work price index. The construction price index expresses the change in the expenditures on construction taking into consideration the price changes of basic inputs: labour force, building materials and building machines.
Change in the construction price index, 2008 and 4th quarter 2008
| 3rd quarter 2008 – 4th quarter 2008, % | 4th quarter 2007 – 4th quarter 2008, % | 2007–2008, % | |
| TOTAL | -1.5 | 0.5 | 3.4 |
| labour force | -2.7 | -1.7 | 4.1 |
| building machines | -0.9 | 2.8 | 5.5 |
| building materials | -0.9 | 1.3 | 3.0 |
| Index of detached houses | -1.8 | 0.8 | 3.9 |
| Index of blocks of flats | -1.6 | 0.4 | 3.4 |
| Index of industrial buildings | -1.4 | 0.9 | 3.7 |
| Index of office buildings | -1.4 | 0.2 | 3.1 |
Change in the repair and reconstruction work price index, 2008 and 4th quarter 2008
| 3rd quarter 2008 – 4th quarter 2008, % | 4th quarter 2007 – 4th quarter 2008, % | 2007–2008, % | |
| TOTAL | -1.5 | 0.7 | 4.0 |
| labour force | -2.8 | -1.8 | 4.4 |
| building machines | -1.1 | 0.7 | 3.6 |
| building materials | -0.8 | 2.2 | 3.8 |