PSA: Construction Value Drops 22.7% Despite Rise in Projects

The total value of constructions from approved building permits reached ₱42.09 billion in the latest report from the Philippine Statistics Authority (PSA), reflecting a 22.7 percent decrease compared with the ₱54.48 billion recorded in the same period last year.

Despite the drop in value, the number of construction projects increased by 1.1 percent to 16,282, from 16,105 in the same period of 2024.

More Houses, Fewer Big Projects

Most of the approved projects in the report were for houses. Residential buildings made up 11,331 projects, or almost 70 percent of the total, and were up by 10.4 percent compared to last year. The majority were single-family homes, totaling 9,664.

Non-residential projects, which include commercial spaces, offices, and other large buildings, dropped by 14.9 percent, with only 2,930 projects recorded. Most of these were commercial buildings.

Smaller categories like additions to existing buildings, renovations, and repairs also went down compared to last year.

Project Value 

Residential projects were worth ₱21.25 billion in total, while non-residential projects accounted for ₱16.80 billion. Commercial buildings had the biggest share in the non-residential category at ₱6.39 billion.

All recorded projects covered 3.22 million square meters of floor area, a 17.8 percent drop from the previous year. Residential builds made up just over half of the total space.

According to the PSA, while home construction remained steady, the decline in larger non-residential projects such as offices and commercial buildings was the main factor behind the overall drop in construction value.