Last month, the construction companies' business survey index (CBSI) dropped 0.5 points (p) from the previous month. The construction industry is continuing to feel a recession.
The Korea Construction Industry Institute announced on the 5th that the CBSI for May recorded 74.3, a decrease of 0.5 p from the previous month.
When the CBSI falls below the baseline of 100, it means there are more corporations that view the current construction business climate pessimistically than those that view it optimistically, and a reading above 100 indicates the opposite.
Researcher Lee Ji-hye said, "The perceived construction climate for May has somewhat declined compared to the previous month and continues to show poor performance, significantly below the baseline of 100."
All detailed performance indices, excluding the financing index (78.6·+2.1 p), fell compared to the previous month. The construction performance index (75.6·-9.4 p), order backlog index (72.2·-8.2 p), and construction liability index (77.9·-7.2 p) saw the largest decreases.
The new order index by type of work showed that civil engineering (67.3·+1.6 p) and dwellings (74.6·+3.8 p) increased, while non-residential construction (66.1·-3.0 p) decreased.
By size of corporation, the large corporation index (100.0) remained the same as the previous month, while the small and medium-sized enterprise index (63.0·-0.3 p) and the midsize corporation index (60.4·-1.1 p) showed slight decreases.
Regionally, the Seoul index (90.1·-3.3 p) fell, while the provincial index (63.8·+0.6 p) rose slightly.
The influence of the new orders index for May on the comprehensive performance index was 58.9%, a decrease of 1.1 p compared to the previous month, while the influence of the financing index rose from the previous month by 1.4 p to 12.7.
The outlook index for June is 75.3, which is 1.0 p higher than the previous month's performance index.