The number of building permits for residential buildings in Romania increased by 9.2% in January compared to the same month last year, reaching 1,561.

The advance was mostly supported by a higher demand in the Bucharest area, as well as in the north-west of the country (Transylvania area), according to data from the National Statistics Institute (INS). Over 61% of the permits were issued for buildings in rural areas.

The biggest increase was recorded in the Bucharest-Ilfov area, whereas the Moldova area, in the east of the country, saw the biggest decrease.

In December last year, the number of permits for residential buildings dropped by 12.3% year-on-year to 2,519.

The number of permits for residential buildings decreased by 1.2% in 2016 over the previous year, to 38,653. The decline was mostly caused by the reduced demand in Bucharest, Moldova, and Muntenia.

Between 2009 and 2014, the number of permits for residential buildings - which include both single family homes and apartment buildings - decreased by 38%, according to official statistics, amid falling demand for housing among the population.

editor@romania-insider.com