Bucharest, October 20, 2025 – RBJ – Romania’s construction sector accounted for almost 8% of GDP over the past four quarters- the highest share across the entire European Union, according to Eurostat data analysed by Colliers. This level is well above the EU-27 average of 5% and confirms the growing importance of construction in the local economy. Moreover, Romania recorded the second-fastest post-pandemic growth in construction activity within the European Union, according to Colliers consultants, who note that this trend reflects the accelerated pace of transformation in the sector. That being said, Colliers points out that the recent volatility in the construction sector is not a good sign, as it points to some underlying problems which may impact the companies’ results and their long-term viability.
“In the first eight months of 2025, the volume of construction works in Romania was around 58% higher than in the same period of 2019 – a growth that has increased the sector’s share of GDP from below 6% to nearly 8%. This is the highest share in the European Union, driven largely by infrastructure investments, as well as private projects in the residential and commercial segments. To put things into perspective: the 250 kilometres of motorway opened last year would be equivalent, relative to the country’s size, to inaugurating around 10,000 kilometres in China, which is what they usually do a year on average and Chia is often seen as a model for infrastructure development,” explains Alexandru Atanasiu, Board Member & Head of Construction Services at Colliers.
While the construction sector remains one of the main engines of the economy, challenges persist, Colliers experts point out, as economic uncertainty and fiscal pressures are increasingly felt – both in the residential segment, where developers are cautious about a potential slowdown in demand, and in infrastructure projects, where delays in financing and difficulties in absorbing EU funds are slowing progress. Against this backdrop, the government’s target announced at the beginning of the year – to open between 200 and 300 kilometres of new motorways – now seems increasingly difficult to achieve. In an optimistic scenario, Colliers consultants estimate that Romania could complete around 100 kilometres by the end of the year.
“The fact that last year’s motorway openings were, proportionally, on par with China’s construction pace, while this year we’re seeing a significant slowdown again, is an alarming signal for the industry. The state must take into account that it took several years for the sector to accelerate, build teams and develop the necessary capacity for large-scale projects. Another downturn would mean losing this momentum, triggering ripple effects across investments and economic development, including in related industries such as logistics and industrial,” warns Silviu Pop, Director CEE & Romania Research at Colliers.
The Colliers consultants point out that market participants are fearful about cashflow stability and the possibility that arrears may accumulate, amid the economic slowdown, but especially the issues regarding attracting EU funds via Romania’s recovery and resilience plan. In order to counter some short – term financial difficulties, there are some solutions coming from banks, but if these problems become structural and widespread, they will be difficult to tackle, Atanasiu warns.
In the first eight months of this year, the volume of engineering works – which mainly includes infrastructure projects but also major investments such as hospitals or stadiums – increased by around 12% compared to the same period in 2024. Meanwhile, residential building work advanced by 10%, and non-residential buildings, such as offices and retail spaces, recorded a 6% increase.
