Home » NEWS » ABC forecasts 'sluggish' year

ABC forecasts 'sluggish' year

WASHINGTON — Associated Builders and Contractors (ABC) has released its 2010 economic forecast for the commercial and industrial construction industry.

“While the industry battled the effects of the recession in 2009, expect 2010 to be a transitional but sluggish year on the road to recovery,” said ABC chief economist Anirban Basu.

“Through late 2008, the industry held up well, but 2009 was a year of retrenchment for many construction sectors, including those associated with private development and municipal projects. Overall, the non-residential construction industry has been impacted by a combination of financing constraints, massive job loss and a lack of confidence in local economies across the nation due to falling tax revenues.

ABC has been highly pessimistic regarding the health of the non-residential construction industry in 2009. For the most part, these dire expectations were met despite the passage of a massive stimulus package in February. As ABC had predicted, contractors did enjoy some relief in the form of generally declining materials prices, but this did not fully offset the impact of diminished contracting opportunities, and many ABC members reported declining revenues and shrinking backlogs throughout calendar 2009. The major exceptions were those firms benefiting from federal project spending, working to help retool major manufacturing establishments, and involved in America’s expanding energy complex.

BEFORE YOU GO…

… we’d like to ask for your support. More people are reading the Mississippi Business Journal than ever before, but advertising revenues for all conventional media are falling fast. Unlike many, we do not use a pay wall, because we want to continue providing Mississippi’s most comprehensive business news each and every day. But that takes time, money and hard work. We do it because it is important to us … and equally important to you, if you value the flow of trustworthy news and information which have always kept America strong and free for more than 200 years.

If those who read our content will help fund it, we can continue to bring you the very best in news and information. Please consider joining us as a valued member, or if you prefer, make a one-time contribution.

Click for more info

About Wally Northway

Leave a Reply

Your email address will not be published. Required fields are marked *

*