Australia's construction sector expanded in August after contracting in the previous nine months, the latest survey from the Australian Industry Group showed on Monday.
The Ai Group/HIA Australian Performance of Construction Index,or PCI, climbed by 6.7 points to 53.8 in August from 47.1 in the previous month. Any reading above 50 indicates expansion in the sector.
The rebound in August was driven by a solid improvement in the new orders, which returned to growth for the first time in five months. The corresponding index rose notably to 57.6 in August from 45.4 in July.
Among the four construction sub-sectors, apartment building was again the strongest performer in August, although it dropped from July's 11-month of 62.0 to 58.7. House building also expanded during the month, with the index gained by 4.4 points to 54.4.
Commercial construction grew sharply in August after nine months in contraction, the respective index increased by 9.4 points from the prior month to 54.6.
At the same time, engineering construction remained negative territory for the fourteenth successive month in August amid the ongoing decline in mining-related investment.
"A healthy August update for commercial construction is encouraging, but needs to be sustained. As new housing activity remains strong rather than achieving further growth, commercial construction and infrastructure investment needs to pick up the baton. Some economic reform wouldn't go astray, either," HIA Chief Economist, Harley Dale, said.
For comments and feedback contact: editorial@rttnews.com
Economic News
What parts of the world are seeing the best (and worst) economic performances lately? Click here to check out our Econ Scorecard and find out! See up-to-the-moment rankings for the best and worst performers in GDP, unemployment rate, inflation and much more.
April 24, 2026 15:15 ET Economics news flow was relatively light this week even as the conflict in the Middle East continued, raising concerns for policymakers. In the U.S., spending data, initial jobless claims and pending home sales were the highlights. Business confidence in the biggest euro area economy was in focus in Europe. Inflation data from Japan gained attention in Asia.