XN000022-1987-08-25 — Page 5

I

TUESDAY, AUGUST 25, 1987

ON THE LABOUR SECTOR, THE REPORT OBSERVES THAT EMPLOYMENT IN MANUFACTURING INCREASED MODERATELY IN MARCH 1987 OVER MARCH 1986, WHILE EMPLOYMENT IN FINANCIAL AND BUSINESS SERVICES, IN RESTAURANTS AND HOTELS, IN TRANSPORT SERVICES, AND ON BUILDING AND CONSTRUCTION SITES RECORDED MORE SIGNIFICANT INCREASES.

AGAINST THE BACKGROUND OF A GENERAL LABOUR SHORTAGE, IN ALL SECTORS INCREASED SHARPLY IN MARCH 1987 OVER MARCH LINE WITH THIS, EARNINGS IN THE MANUFACTURING AND THE SECTORS, IN TERMS OF PAYROLL PER PERSON ENGAGED, SIGNIFICANTLY BOTH IN MONEY TERMS AND IN REAL PERIOD. CONSTRUCTION WAGE RATES ALSO RECORDED A IN REAL TERMS.

TERMS OVER

SIGNIFICANT

VACANCIES 1986. IN SERVICES INCREASED THE SAME INCREASE

THE REPORT NOTES THAT FOLLOWING AN INCREASE OF 16 PER CENT IN 1986, THE INDEX OF INDUSTRIAL PRODUCTION ROSE BY 24 FPER CENT IN THE FIRST QUARTER OF 1987 COMPARED WITH A YEAR AGO. MANUFACTURING ACTIVITY CONTINUED TO BE BUOYANT IN THE SECOND QUARTER, AS EVIDENCED BY THE FIGURES ON DOMESTIC EXPORTS, ON RETAINED IMPORTS OF RAW MATERIALS AND SEMI-MANUFACTURES, ON THE QUANTITY OF ELECTRICITY CONSUMED BY THE INDUSTRIAL SECTOR, AND ON THE ORDER-BOOK POSITIONS OF THE LARGE MANUFACTURERS.

ON THE PROPERTY SECTOR, THE REPORT NOTES THAT THE PROPERTY MARKET AS A WHOLE CONTINUED TO BE BUOYANT IN THE FİRST HALF OF 1987. PRICES AND RENTALS OF ALL TYPES OF PROPERTY FOLLOWED AN UPWARD TREND.

TRADING IN THE RESIDENTIAL PROPERTY MARKET REMAINED ACTIVE, WITH GREATER INTEREST BEING SHOWN IN THE LARGER FLATS PARTICULARLY IN WELL-PLANNED DEVELOPMENTS. HOWEVER, THE PREVAILING HIGH LEVEL OF FLAT PRICES SEEMED LIKELY TO DAMPEN FURTHER INCREASES IN DEMAND.

IN

THE TIGHT SUPPLY SITUATION OF COMMERCIAL PROPERTY CONTINUED THE FIRST HALF OF 1987. WITH THE COMPLETION OF SEVERAL MAJOR OFFICE DEVELOPMENTS AND AN INCREASED SUPPLY OF SHOPPING SPACE IN THE NEAR FUTURE, THIS TIGHT SITUATION SHOULD EASE SOMEWHAT.

IN LINE WITH THE STRONG EXPORT PERFORMANCE AND MANUFACTURING ACTIVITY, DEMAND FOR FACTORY ACCOMMODATION

FIRM.

BUOYANT REMAINED

AS REGARDS BUILDING INTENTIONS, PLANNED DEVELOPMENTS OF ALL TYPES OF PROPERTY, IN TERMS OF THE TOTAL USABLE FLOOR AREA ON BUILDING PLANS FOR WHICH CONSENT TO COMMENCE WORK HAD BEEN GIVEN, INCREASED BY 22 PER CENT IN THE FIRST HALF OF 1987 COMPARED WITH THE SAME PERIOD IN 1986.

COPY.

THE HALF-YEARLY ECONOMIC REPORT 1987 IS NOW ON SALE AT $15 A

15