• Hausa Edition
  • Podcast
  • Conferences
  • LeVogue Magazine
  • Business News
  • Print Advert Rates
  • Online Advert Rates
  • Contact Us
Sunday, August 24, 2025
Leadership Newspapers
Read in Hausa
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
Leadership Newspapers
No Result
View All Result

Construction Works Dip As House Developers, Contractors Struggle With Inflation

by Kingsley Okoh
11 months ago
in Business
Contractors Struggle With Inflation
Share on WhatsAppShare on FacebookShare on XTelegram

As inflation bites harder, construction works at different sites across the country have slowed down as the real sector is grappling with multiple inflation, stagflation and general free fall of the Naira which have weakened negotiations for projects.

Advertisement

This is just as developers and property managers have expressed fears over the slow activity in the construction sector.

Investigation revealed that Nigeria’s economic challenges were underpinned by record-high inflation, a weakening currency, retail inflation, high exchange rate, high import duty tariffs amongst other confluence of factors.

The construction business sector of the real estate economy is shrinking in response to the crippling effect of inflation and other adverse macroeconomic conditions bedevilling the economy.

Even though the domestic demand for residential housing has increased, stakeholders believe that developers and institutional investors can’t cope with the inflation surge.

RELATED

Passengers Face Flight Delay As Multiple Bird Strikes Hit Air Peace Aircraft

4 Months To Yuletide: Air Peace, United Nigeria Jack Return Tickets To N677,000

5 hours ago
Equities’ Investors Lose N201bn W-o-W Amid Post-MPC Rebalancing

Broad-based Selloffs Deepen Market Losses By N2.29trn W-o-W

5 hours ago
ADVERTISEMENT

Speaking during a media briefing in Lagos, a realtor who is also a director of studies at School of Estate and Business, Debo Adejana explained the negative impact of the current economic pressure in the country on the sector, citing soaring prices driven by high inflation as a major factor affecting sale and slowing activities at construction sites.

He said, the real estate sector prices are going up because the rate of inflation is high and, on the reverse side, people’s disposable income is also shrinking and it’s telling on sales. Prices are going up and sales are not really at the level they used to be, Adejana said.

According to him, “this has also led to slow supply in the industry leading some sites to be dormant and projects unfinished. He added that some sites are either dormant at the moment or really slow in terms of construction activities because of the state of the economy. So, these are some of the effects.”

ADVERTISEMENT

He explained that the issues surrounding the real estate sector would help scholars to get more aspirations to draw inspiration and expand the goals and frontiers of the sector.

While commenting on this, Senior Analyst, Estate Intel, Dapo Runsewe noted that, “the macroeconomic climate is difficult to ignore.

It has particularly subdued construction activity across the board with developers and investors opting for a cautious approach in general.”

He noted that macroeconomic headwinds had subdued the rental market as occupants opt for reduced space.

He, However stated that companies have opted to downsize or exit the market altogether, adding that occupancy rates are being impacted.

On the other hand, he said, the retail sector continues to be subdued with the bulk of development activity driven by hypermarkets and neighbourhood supermarkets, saying, ‘as a result, the larger retail developments make up 70% of the pipeline, which is currently on hold.’


Join Our WhatsApp Channel

Nigerians can now earn US Dollars monthly by acquiring domains cheaply and reselling for profits up to $18,000 (nearly ₦30Million). Beneficiaries include professionals, entrepreneurs, civil servants and more. Click here to start.


Tags: Nigeria’s Inflation
SendShare10172Tweet6357Share
ADVERTISEMENT
Previous Post

Hardship: Senator Alli Urges Nigerians To Be Hopeful, Resilient

Next Post

Benue, Bauchi, Gombe Residents Pay Highest Petrol Prices In August

Kingsley Okoh

Kingsley Okoh

You May Like

Passengers Face Flight Delay As Multiple Bird Strikes Hit Air Peace Aircraft
Business

4 Months To Yuletide: Air Peace, United Nigeria Jack Return Tickets To N677,000

2025/08/24
Equities’ Investors Lose N201bn W-o-W Amid Post-MPC Rebalancing
Business

Broad-based Selloffs Deepen Market Losses By N2.29trn W-o-W

2025/08/24
Presco Records N58.6bn Pre-tax Profit In Q1
Business

Presco’s Shareholders Approve N26.3bn Dividend

2025/08/24
Nigeria Leads Africa In Stablecoin Adoption with $22bn In Transactions
Business

Nigeria Leads Africa In Stablecoin Adoption with $22bn In Transactions

2025/08/24
Experts Advocate Strong Partnership, Intervention Models To Accelerate Shift To Renewable Energy
Business

Experts Advocate Strong Partnership, Intervention Models To Accelerate Shift To Renewable Energy

2025/08/24
FCMB Partners Leading Real Estate Firms On Affordable Housing
Business

FCMB Group Proposes Equity Capital Raise

2025/08/24
Leadership Conference advertisement

LATEST

Nigeria Police Deport Wanted Chinese Gang Leader

Igboho Apologises To Alaafin Over Comment At Ooni’s Palace

Anambra’s Nonye Soludo Wins ‘Humanitarian First Lady’ Award 2025

Wang Yi’s Visit To Delhi Signals Strategic autonomy to US

NDLEA Arrests Widow With Fake Pregnancy Stuffed With Cocaine

Victor Boniface Returns To Bayer Leverkusen After Medical Tests In Milan

367,000 PVCs Uncollected In Kano, Says INEC REC

‘Broke Retired Players Should Be Jailed’, Says Ex-Super Eagles Player Ideye

4 Dead, 41 Rescued In Sokoto Boat Mishap – NEMA, SEMA

Reps Query NERC, Others Over Disbursement Of N59bn Metering Fund

© 2025 Leadership Media Group - All Rights Reserved.

No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us

© 2025 Leadership Media Group - All Rights Reserved.