Scad says Abu Dhabi construction cost index up 3.2% in Q2 2018
Abu Dhabi's construction cost index stood at 99.1% in Q2
The cost of construction in Abu Dhabi increased in Q2 2018 compared to same period in 2017, figures from the Statistics Centre in Abu Dhabi (Scad) have revealed.
According to a Scad report cited by UAE state news agency WAM, the construction cost index (CCI) in Abu Dhabi stood at 99.1% in Q2 2018 – an increase of 3.2% from the 96.1% figure in the second quarter of 2017.
Manpower costs also contributed to the overall increase in the prices in Q2 2018 compared to the first quarter of this year. Prices in the group increased by 8.1%, Scad explained.
The CCI, used as a statistical indicator for the purpose of planning and research in various disciplines, also increased 0.2% in Q2 2018 compared to Q1 2018.
The price of the finishing materials group also decreased by 1.5% in the second quarter of 2018 compared to the first quarter. The weight for this group is 26%.
The CCI metric uses a sample of sources such as building materials and construction service providers, with sources selected to represent the market conditions found in Abu Dhabi.
Scad compiles the CCI according to the 10 main groups of the index basket, with a base year of 2013.
The emirate’s CCI reached 103.5% in Q1 2018, up from 94.2% in the same period in 2017. In Q1 2018, the prices of construction services and equipment respectively grew by 15.9% and 1.1%, compared to Q1 2017.