Czechs remain committed to homeownership despite rising costs

Despite high housing prices and growing financial pressures, most Czechs remain committed to the goal of owning their own home, according to the first edition of the Housing Future Index published by the KB Group. The index, which measures public sentiment about housing accessibility, financing, sustainability, and smart technology, reached 51 out of 100 points in 2025, suggesting cautious optimism among the population.

The survey found that 80% of respondents view homeownership as unaffordable under current conditions. Nevertheless, many continue to save regularly and plan to use financial tools such as mortgages and building savings loans to bridge the gap. While concerns about the rising costs of real estate and construction are widespread, there is still strong interest in long-term investment in housing, including sustainable and energy-efficient solutions. Nearly three-quarters of those planning to build or renovate a home said they are considering sustainable housing, and nearly half would be willing to pay up to 10% more for it.

Generational differences were also observed. Generation Z, defined as those under 30, showed lower confidence in their ability to achieve homeownership, with an index score of 46 compared to the general population’s 51. They were also more open to renting or shared housing as an alternative. However, they expressed greater optimism about long-term affordability, with 23% expecting housing to become more accessible in the next decade.

Savings habits remain strong, with half of respondents actively putting money aside for housing. Around 31% use dedicated financial products for regular savings, while another 19% contribute irregularly. Market data supports this trend: the number of new mortgages rose by 83% year-on-year in 2024, while loans from building savings schemes increased by 45%.

The sustainability index scored relatively high at 70 out of 100, reflecting growing interest in environmentally conscious living. Many respondents expect Czech housing to become more energy efficient over the next ten years. Generation Z again led in this area, being both more likely to consider sustainable housing and more willing to invest in it. Smart technologies, while not yet widespread, are gaining attention, particularly among younger people who anticipate greater integration of digital solutions into housing in the future.

Despite ongoing challenges, such as rising housing costs and limited accessibility, the index indicates that Czechs remain determined to pursue homeownership and are increasingly looking to modern financial tools, sustainable solutions, and digital innovation to achieve it.

Source: KB Group

EU reports €11.1 billion trade deficit in aluminium for 2024

In 2024, the European Union recorded a trade deficit of €11.1 billion in aluminium and related articles, according to the latest data from Eurostat. Imports totalled €29.5 billion, while exports reached €18.4 billion.

Compared to 2019, the value of aluminium imports rose by 29.9%, or €6.8 billion, while exports increased by 21.3%, or €3.2 billion. This growth in trade value occurred despite a decline in the actual volume of traded aluminium, with imports down by 6.2% and exports down by 1.7%. The figures suggest that price increases, rather than volume, were the primary driver of the higher trade values.

Norway and China were the EU’s largest suppliers of aluminium and related goods in 2024, with imports valued at €4.4 billion and €3.9 billion, respectively. Türkiye, Iceland, and Switzerland followed, with significant growth in imports from Iceland (+104.9%) and Türkiye (+95.4%) compared to 2019.

On the export side, the United Kingdom was the leading destination, receiving €3.7 billion worth of aluminium from the EU. The United States and Switzerland followed with €2.6 billion and €2.4 billion, respectively. Türkiye and India rounded out the top five, with India seeing the sharpest growth in EU aluminium exports since 2019 at +135.6%, followed by Türkiye with +66.7%.

Source: Eurostat

EU in global context: New Eurostat report highlights demographic and economic trends

The 2025 edition of “Key Figures on the EU in the World,” published by Eurostat, presents a detailed comparison of the European Union with countries and regions worldwide. The report provides insight into demographics, economic performance, trade, environment, and society, based on harmonised data from Eurostat and international sources.

As of 2023, the EU’s population stood at 448 million, representing 5.5% of the global population. While India and China each accounted for over 17% of the global total, the EU ranked third in size ahead of the United States and Indonesia. However, projections show the EU’s share of global population will fall to 4.2% by 2075, reflecting demographic challenges, including an ageing population and lower fertility rates.

The EU’s population density of 106 inhabitants per square kilometre remains well above the global average of 62. Urbanisation levels are also high, with 75.7% of the EU population living in urban areas compared to 57.3% globally.

The median age in the EU reached 44.5 years in 2023, far above the world average of 30.4. Ageing remains a prominent demographic feature, with the EU’s old-age dependency ratio at 33.4%, more than double the world average of 15.4%. This is projected to rise to 55.5% by 2075, driven by increasing life expectancy and declining birth rates.

In terms of fertility, the EU recorded an average of 1.46 children per woman in 2022, below the replacement level of 2.1 and well below the global average of 2.25 in 2023. The crude birth rate in the EU was 8.2 per 1,000 inhabitants, while the crude death rate was higher at 10.8, leading to a negative natural population change of –2.6 per 1,000.

Despite these demographic trends, migration remains a key driver of population growth in the EU. In 2023, the total population change was positive due to net migration, with 3.7 more people per 1,000 inhabitants. There were 27.4 million non-EU citizens residing in the EU, with Ukrainians, Turks, and Moroccans forming the largest groups. A significant increase in migration flows was noted in 2022, largely linked to geopolitical developments.

On health indicators, the EU showed a strong performance. Life expectancy reached 81.5 years in 2023, higher than the world average of 73.2. Infant mortality rates in the EU stood at 3.3 deaths per 1,000 live births in 2022, far below the global figure of 27.3. Healthcare expenditure in the EU represented 10.9% of GDP in 2021, marginally above the world average.

In education, over a third (35.1%) of EU citizens aged 25–64 had completed tertiary education. Youth not in employment, education or training (NEETs) made up 9.2% of those aged 15–24, significantly lower than the global rate of 20.4%.

Labour market performance showed steady recovery following the pandemic. In 2023, the EU employment rate for people aged 15–64 stood at 70.5%, and the unemployment rate was 6.1%. Men worked an average of 39.2 hours per week compared to 34.2 hours for women.

The Eurostat report offers a broad statistical perspective of the EU’s global position, highlighting both its strengths and areas where demographic and economic shifts may pose future challenges.

Source: Eurostat

Poznań closes 2024 with strong budget execution and stable economic indicators

Poznań ended 2024 with a solid financial performance, achieving higher-than-expected revenue and managing its budget effectively. According to data from the city’s financial department, the budget revenues reached PLN 6.36 billion, surpassing the planned amount by 0.8%. This figure represents a 23.8% increase compared to the revenue collected in 2023. Meanwhile, budget expenditures amounted to PLN 6.26 billion, which is 95% of the annual spending plan, and 1.5% less than the total revenue, indicating a well-managed fiscal year.

A significant portion of the budget—31.3%—came from general subsidies and targeted grants from the state, while revenues from shares in personal and corporate income taxes accounted for 33.6%. Education and schooling received the largest allocation within the city’s expenditures, consuming 37.3% of the budget, followed by transport and communications at 21.5%, and public administration at 7.5%.

On the economic front, industrial production and construction activity remained steady. The city’s registered employment and wage levels showed stability, while tourism and public safety also featured in the latest statistics. As part of a comprehensive report prepared by the Statistics Office in Poznań, the quarterly bulletin captures a detailed picture of the local economy, including labor market trends, social services, and demographic data.

The publication, covering the fourth quarter of 2024, includes analytical insights across various sectors, and positions Poznań in relation to both the wider Wielkopolskie Voivodeship and other major Polish cities. Overall, the report reflects continued economic resilience in the city, supported by prudent fiscal policy and ongoing development across infrastructure and public services.

Source: Statistical Office Poznan

Producer prices in Slovakia rise in February 2025, marking trend reversal in industry

Industrial producer prices in Slovakia rose year-on-year in February 2025, marking the first increase in 13 months. The upward shift was mainly driven by the energy sector, where producer prices for electricity and gas rose for the first time since December 2023. According to the Statistical Office of the Slovak Republic, overall industrial producer prices for the domestic market increased by 2.4% compared to February 2024.

Among the 16 monitored industrial sectors, 12 recorded price increases. Notable contributors included the energy sector with a 4.2% rise and the manufacture of transport vehicles, where producer prices were 4.4% higher than a year earlier. The rubber and plastic manufacturing sector also saw sustained growth, with prices remaining around 5% higher year-on-year. In contrast, the manufacture of petroleum products experienced an 8.1% decrease. For the first two months of 2025, industrial producer prices for the domestic market showed a marginal decline of 0.1%.

Producer prices for the non-domestic market also saw moderate growth, increasing by 0.4% year-on-year in February, although they declined by 1.1% month-on-month. Over the first two months of the year, non-domestic producer prices rose by 0.9% compared to the same period in 2024.

In agriculture, producer prices increased by 7% year-on-year in February. Crop product prices grew by 9.6%, driven by notable increases in cereals, legumes, oilseeds, and fruits. Animal product prices rose by 4.9%, with sheep and lamb prices up by 24%, while hen eggs and raw cow’s milk prices rose by 12% and 8%, respectively. On average, agricultural producer prices rose by 7.3% in the first two months of the year.

In the construction sector, work prices were 2.9% higher than in February 2024, and construction material prices increased by 1.9%. For the first two months of the year, construction work and material prices rose by 3.1% and 1.9%, respectively.

The February data suggests a broader shift in production price trends across key sectors, influenced by energy market developments and rising agricultural and construction costs.

Source: Statistical Office of the Slovak Republic

Šárka department store in Prague 6 to be demolished and replaced by residential development

The CPI Property Group is planning to demolish the Šárka department store in the Červený Vrch housing estate in Prague 6. The building will be replaced by a new residential complex developed in cooperation with a commercial partner. The project will also involve improvements to the surrounding public spaces, developed in collaboration with the Prague 6 district office and the Institute of Planning and Development (IPR Prague).

As part of the project, an urban-architectural competition has been announced to determine the future appearance of the area. According to CPI Property Group’s project manager, Petr Beránek, the goal is to enhance civic amenities and create new commercial spaces for shops and services to support the revitalization of the central area of the estate.

In line with local requirements, the new residential building is expected to include a restaurant with a social hall and space for medical offices. The competition will also address the design of the surrounding public areas, including the pedestrian axis connecting the Na Dlouhém lánu Primary School and the Arabská Gymnasium.

According to Prague 6 Deputy Mayor Václav Kožený (ODS), integrating the investor’s project into the broader planning of the area will help guide future coordinated development. Mayor Jakub Stárek (ODS) added that the city’s goal is to establish a local center that connects different parts of the housing estate while creating a functional and attractive space for residents.

Local residents have had the opportunity to engage in the planning process through exhibitions, public meetings, and an online survey.

Applications to participate in the design competition are open until 7 April. A jury will then select seven to eight teams to present their concepts by June. From these, three to four finalists will move on to a second round to further develop their proposals, which will be presented to the public in the autumn. The jury is chaired by Slovak architect and urban planner Igor Marko. The competition is organized by planning consultancy ONplan.

Source: CTK

OECD presents toolkit to finance industrial decarbonisation under climate club initiative

The OECD has released a draft version of the “Climate Club Financial Toolkit,” a comprehensive guide outlining financial instruments to support the decarbonisation of heavy industries. The report, developed as part of the Climate Club’s 2024 work programme (Pillar III, Module 2), targets both developed and developing economies by identifying strategies to mobilise private capital and reduce risks associated with low-carbon investments.

The toolkit includes an analysis of 28 financial instruments divided into three categories: economic instruments, de-risking tools, and financing mechanisms. Each instrument is assessed for its potential benefits, use cases, and relevance to key sectors such as cement, iron and steel, and petrochemicals. The document also presents a series of international case studies demonstrating the application of these tools in real-world decarbonisation projects.

A notable component of the report is the economic assessment of selected low-carbon technologies, designed to highlight their viability in various market environments and country contexts. The assessment focuses on hard-to-abate sectors that are typically more challenging to decarbonise due to technical, financial, and regulatory barriers.

The toolkit is expected to inform upcoming financial and technical assistance programmes within the Climate Club and support policy makers and industry stakeholders in identifying effective pathways to achieve net-zero targets. It serves as a resource for mobilising private investment in emissions reductions while enhancing cross-border cooperation on climate goals.

This initiative reflects growing international recognition of the need for targeted financial strategies to accelerate industrial decarbonisation and support global efforts to meet the goals of the Paris Agreement.

Lindab extends lease at MLP Pruszków II logistics park

Lindab, a manufacturer and distributor of building, ventilation, and air conditioning products, has extended its lease agreement at the MLP Pruszków II logistics park. The company will continue to occupy approximately 6,700 square metres of warehouse and office space. The agreement was facilitated by real estate consultancy Knight Frank.

Lindab has been operating at MLP Pruszków II since 2020, initially leasing 4,300 square metres and later expanding to its current footprint. The company is part of the Lindab Group, which has been present in the Polish market since 1992.

MLP Group representatives stated that the lease extension reflects Lindab’s continued confidence in the facility and the working relationship. The MLP Pruszków II park, located in the Brwinów municipality near Warsaw, offers modern logistics space and is designed with sustainability in mind. Several buildings hold BREEAM certification, and photovoltaic systems are being installed as part of the group’s ESG strategy.

The logistics park provides good connectivity to Warsaw and national transport routes, including proximity to the A2 motorway and international railway lines. It is MLP Group’s largest facility in the region, with a target leasable area of 427,000 square metres.

MLP Group follows a long-term “build & hold” strategy, retaining and managing its logistics parks after development. The company offers tailored solutions and ongoing support to its tenants throughout the lease term.

PORR reports strong 2024 results and positive outlook for 2025

PORR recorded strong results for the 2024 financial year, achieving growth in key areas despite a mixed economic environment. The company reported an increase in production output to EUR 6.7 billion and a record EBIT of EUR 158.4 million, with an EBIT margin of 2.6%. The equity ratio rose to 21.1%, and the Executive Board has proposed a dividend of EUR 0.90 per share for the year.

Order intake for 2024 reached EUR 6.846 billion, including major projects such as a data centre in Germany valued at nearly EUR 200 million and a pharmaceutical production facility worth almost EUR 100 million. Civil engineering projects, including the Luegbrücke bridge in Austria, also contributed to an order backlog of EUR 8.5 billion, up 1.1% from the previous year.

Group-wide production output increased by 2.6% to EUR 6.747 billion, with civil engineering accounting for 57.4% of the total. Residential construction remained a smaller segment at 8.1%, while other building construction made up 24.4%. PORR continued to serve industrial clients with complex projects delivered on time and within budget.

Revenue increased by 2.3% to EUR 6.19 billion, supported by efficiency improvements and cost savings. EBITDA rose by 7.1% to EUR 368.8 million, and group net profit grew by 14.6% to EUR 108.9 million. Earnings per share reached EUR 2.32. Free cash flow rose by 39% to EUR 138.2 million, reflecting stronger operating and investment performance.

PORR’s total assets stood at EUR 4.24 billion at the end of 2024. Despite repaying hybrid capital, equity increased by 4% to EUR 894 million, with net debt near zero. Liquidity reserves remained high at over EUR 1 billion. Based on these results, the proposed dividend represents a 38.8% payout ratio.

Economic forecasts for 2025 anticipate a recovery in the European construction sector, supported by expected interest rate cuts and increased private investment. PORR sees growth opportunities in residential construction, data centres, healthcare facilities, and infrastructure expansion. The company continues to focus on decarbonisation efforts, committing to science-based climate targets with emissions reduction goals through 2030.

Looking ahead, PORR expects moderate increases in output and revenue in 2025, with a projected EBIT margin between 2.8% and 3.0%. The long-term target for 2030 remains an EBIT margin of 3.5% to 4.0%. The outlook remains subject to potential geopolitical risks and broader economic developments.

Timber Prague project achieves over 50% reduction in carbon emissions

An analysis of the Timber Prague residential project in Prague-Řeporyje has shown that switching from the original reinforced concrete design to a hybrid timber structure has led to a 52.42% reduction in total carbon emissions. The project, completed by UBM Development Czechia in autumn 2024, marks the first multi-storey timber residential buildings in the Czech capital. The buildings form part of the Arcus City development and have received both a PENB A energy certificate and BREEAM Excellent certification.

Originally planned as a concrete structure, the project was redesigned in 2021 to align with the sustainability goals of UBM Development AG, which is pursuing a strategy to lead in timber construction across Europe. The analysis, prepared by consulting firm Grinity, assessed both the embodied emissions from construction materials and operational emissions over a 50-year period.

The analysis found that the timber design fixed 4,177 tonnes of CO₂e through carbon stored in wood, representing a 34.47% reduction in embodied emissions compared to the original concrete design. Operational emissions were also significantly reduced due to the implementation of energy-saving technologies, including geothermal boreholes, heat pumps, solar panels, and external shading. These measures brought operational emissions down from 7,502 tonnes of CO₂e to 2,357 tonnes, a decrease of 68.58%.

In total, the carbon footprint of the Timber Prague project was reduced from 13,733 tonnes of CO₂e to 6,534 tonnes. The findings highlight the potential for timber and hybrid construction to support decarbonisation in the building sector, while also offering benefits such as faster construction, improved precision from prefabrication, and the promotion of circular construction practices. UBM says the project reflects its broader commitment to sustainable development under its “green. smart. and more” strategy.

« Previous 1 … 431 432 433 434 435 … 579 Next »

Latest news

All posts by fletcher@cijeurope.com.