Polish Construction Sector Pins Hopes on Infrastructure Boom and EU Funds

According to the Deloitte report, 43% of firms foresee a near-term improvement in the business climate, and roughly a quarter of those anticipate a significant upturn. On a longer horizon, nearly 67% of respondents expressed confidence in positive developments, signaling that sector sentiment has shifted from cautious to broadly optimistic.

A Strong Growth Outlook Despite Challenges

Independent industry analyses support this upbeat mood. According to the Poland Construction Industry Report 2025, the sector is expected to grow by about 2.4% in 2025, while the longer-term trajectory points to an average annual growth rate of 4% from 2026 to 2029. By the end of the decade, analysts estimate the market could reach roughly €66.7 billion in value. :contentReference[oaicite:0]{index=0}

Growth drivers include substantial government investments in transport and energy infrastructure, EU-backed programs, and reconstruction efforts following the 2024 floods. The Council of Europe Development Bank recently approved a PLN 881.2 million loan to support rebuilding efforts, while the European Commission has earmarked approximately PLN 105.8 billion for strategic projects through 2028. :contentReference[oaicite:1]{index=1}

Key Drivers of Sector Optimism

Industry optimism is not uniform but highly concentrated around several factors:

• Public infrastructure projects: Roughly one-third of firms cite anticipated state-backed investments as a major positive influence.
• EU funding mechanisms: Tender releases and grants under European Union programs are expected to unlock new work streams for both domestic and international contractors.
• Housing market recovery: Approximately 18% of respondents pointed to improvements in residential demand, particularly in urban centers.

Lingering Risks and Structural Challenges

Despite the optimism, the sector is not without its hurdles. One-third of companies pointed to ongoing delays in the announcement of new infrastructure contracts as a significant concern. Labor shortages continue to plague the industry, with skilled workers migrating to better-paid positions abroad, a trend documented in broader European construction market reports. :contentReference[oaicite:2]{index=2}

Other risks highlighted include geopolitical uncertainty and cost pressures. Rising material and labor costs, coupled with high interest rates, could dampen expansion momentum if not managed effectively. This aligns with broader economic warnings that uncertainties in global trade and inflation can affect demand and investment decisions across sectors. :contentReference[oaicite:3]{index=3}

Performance Metrics: What the Numbers Show

Recent performance figures paint a nuanced picture. In 2024, Poland’s top fifteen construction firms saw combined revenues grow modestly by 0.7% year‑on‑year to just over 47 billion zloty, with Grupa Budimex maintaining its leadership in the market. The total construction market value reached 353.5 billion zloty in 2024, representing a 4.3% increase in current prices compared with the previous year.

While these numbers reflect growth, they also suggest that the pace of expansion remains uneven across sub‑segments of the industry, particularly in residential versus commercial construction.

Analyst Takeaways: Growth with Caution

Experts emphasize that while Poland’s construction sector is on a generally positive trajectory, success will depend on managing emerging risks such as material price volatility, workforce constraints, and macroeconomic headwinds. These factors could influence project timelines and investment decisions throughout 2025 and beyond.

Still, as Poland positions itself as one of Central Europe’s most dynamic markets — with GDP growth expected to remain robust and public investment momentum building — the overall outlook points to sustained, if cautious, expansion in the construction industry. :contentReference[oaicite:4]{index=4}