The German construction sector is showing no signs of recovering, even after being in a crisis for months and despite pledges of support and investment from the government.
Recent economic data shows the industry is still in a "dismal situation," Carsten Brzeski, global head of macro research and chief economist for Germany at ING, told CNBC.
The data shows that between January and May of this year, permits for single-family homes fell over 31%, and those for multi-family houses declined over 21% compared to the same time period last year.
Felix Pakleppa, head of the Central Association of the German Construction Industry, noted the bleak outlook for the sector.
"Building permits in Germany continue to only know one direction: downwards," he said, pointing to the data, which has not reflected growth since April 2022.
Persons:
Carsten Brzeski, Felix Pakleppa, Housebuilding, Pakleppa
Organizations:
ING, CNBC, Central Association of, German Construction Industry
Locations:
Germany