Monaco’s construction sector is entering a clear phase of deceleration, marking the end of a cycle that had been driven for more than a decade by exceptional, large-scale projects…
Long anticipated by professionals and public authorities alike, the slowdown is now confirmed by official figures, with tangible effects on turnover, employment, and overall economic momentum in the Principality.
As reported by Monaco Matin, the latest quarterly bulletin published by IMSEE for the third quarter of 2025 highlights construction as the single largest contributor to the overall economic downturn. Sector turnover fell by nearly €400 million year-on-year, a drop of almost 20 percent, bringing revenues down to €1.6 billion, the lowest level recorded in four years. The decline follows the completion of landmark developments such as Mareterra and Testimonio II, which had previously sustained exceptionally high levels of activity.
This contraction is also being felt in the labour market. Employment in construction fell by 6.7 percent over the period, contributing to a broader 2.5 percent decline in private-sector jobs across Monaco. The number of hours worked has likewise decreased, with cumulative figures now below those of 2024.
Beyond construction, the slowdown is rippling through the wider economy. Overall turnover excluding financial activities fell by just over 2 percent, affected as well by weaker performance in wholesale trade and real estate-related activities.
While the sector’s correction appears structural rather than cyclical, industry representatives are calling for renewed public investment to stabilise activity and provide longer-term visibility for companies and workers operating in one of Monaco’s most strategic industries.
