Construction 2024/25: Adapting to new realities

Creamer Media's ‘Construction 2024/25: Adapting to new realities’ report explores key aspects of the South African construction sector, offering a comprehensive overview of its challenges and opportunities. The report examines the sector's prolonged decline, driven by reduced demand for office and retail developments, currency depreciation, unsustainable price wars, and delayed or nonpayment by public-sector clients. Broader issues, such as high lending rates, municipal dysfunction, and the rise of the construction mafia, have compounded these difficulties, forcing many companies, particularly smaller contractors, to scale back operations or exit the market. Additionally, flawed procurement practices, narrow profit margins, and substandard project execution continue to hinder progress, despite the sector's crucial role in South Africa’s economic recovery.