Constructions

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Urbanization and its impact on the construction market in Romania

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infoCONSTRUCT.ro

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The urbanization process continues to be a key driver for the construction market in Romania. In 2024, over 55% of the country’s population lived in urban areas, and demand for housing, infrastructure, and commercial buildings is steadily increasing.

Large cities such as Bucharest, Cluj-Napoca, and Timișoara concentrate most residential and office projects, while medium-sized municipalities attract investments in infrastructure and logistics spaces. This trend is generating higher demand for modern construction materials and energy-efficient technologies.

A World Bank report shows that urbanization can contribute up to 2% annually to Romania’s GDP if supported by investments in infrastructure and public transport. However, urban expansion also brings challenges, such as pressure on utilities, pollution, and the need for affordable housing.

For the 2025–2030 period, urban development strategies focus on the concept of the “smart city,” which integrates digital solutions for transport, energy, and housing. As a result, the construction market will be directly influenced by demand for sustainable buildings and green infrastructure.

(Photo: Freepik)

 

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