The ABC’s Rebecca Hyam reports (7.3.16) on industry warnings that the current downturn in housing construction will have a significant dampening effect on the rest of the Australian economy.
‘Activity in Australia’s construction sector went backwards for a third straight month in February, triggering a sharp decline in house building.
‘The latest Performance of Construction Index by the Australian Industry Group (AI Group) and Housing Industry Association (HIA) slipped by 0.2 points to 46.1 last month.
‘The index remains below the critical 50-point level — the point that indicates growth.
‘… Australian Industry Group head of policy Peter Burn said new orders fell for the fourth month in a row, in an ominous sign for the building industry.’