Polish construction firms cut investment despite production growth

The Polish construction market is experiencing a divergence between production growth and corporate investment sentiment. While construction and assembly production rose by over 5% in June, with the infrastructure segment seeing a nearly 19% year-on-year increase, many companies remain cautious.

According to the EFL Barometer for the third quarter of 2026, 41% of construction companies plan to reduce their investment spending. Industry experts suggest that a significant recovery in revenues may not be expected until 2027. However, there is hope that the continued influx of funds from the National Recovery Plan (KPO) and the 2021–2027 financial perspective will stimulate investment in the coming months.

Data from Statistics Poland indicates that while the overall construction and assembly production contracted by nearly 3% in the first half of the year, the second quarter showed improvement compared to the first, which was hampered by severe winter weather. Residential construction has also shown resilience, with a 3–3.5% increase in issued apartments and started constructions, alongside a nearly 20% rise in new building permits.