According to data provided by Statistics Estonia, in 2023, the construction price index was up 6.1 percent in comparison to the average for 2022.
In the fourth quarter of last year (Q4 2023), the construction price index increased by 0.9 percent from the third quarter (Q3). The index was 2.2 percent higher than in the fourth quarter of 2022.
Ülo Paulus, leading analyst at Statistics Estonia, said that Estonia's construction price index rose by 6.1 percent in 2023 when compared with the average from 2022. The cost of labor force increased by 7 percent, the cost of using building machines by 9.8 percent, and the cost of materials by 5.2 percent. "The increasing cost of materials was the biggest driver of the rise in the construction price index, accounting for 52 percent of the total index rise," said Paulus.
In the fourth quarter of 2023, the repair and reconstruction work price index was down 0.3 percent compared with the third quarter, and up 1.4 percent compared with the fourth quarter of 2022.
The construction price index expresses the change in construction expenditures taking into consideration the price changes of three basic inputs: labor force, building machines as well as building materials.
The calculation of the construction price index covers four groups of buildings: detached houses, apartment buildings, industrial buildings as well as office buildings.
The repair and reconstruction work price index, meanwhile, covers office buildings.
Editor: Michael Cole