THE value of approved construction projects in the Philippines jumped by more than a fifth in June, driven by a sharp increase in non-residential building activity, according to the Philippine Statistics Authority (PSA).
Latest PSA data showed the value of construction based on approved building permits reached P74.34 billion during the month, 22 percent higher than the P60.94 billion recorded in June 2025.
Non-residential buildings accounted for the bulk of the construction value at P43.80 billion, or 58.9 percent of the total. This was 56.4 percent higher than the P28.01 billion worth of non-residential projects approved a year earlier.
Industrial buildings accounted for the largest share at P19.40 billion, or 44.3 percent of the non-residential total.
In contrast, the value of residential construction fell by 25.8 percent to P20.24 billion from P27.29 billion in June last year. Residential projects accounted for 27.2 percent of the total construction value.
Single houses comprised the largest portion of residential construction value at P13.04 billion, equivalent to 64.4 percent of the residential total.
The value of alterations and repairs to existing structures more than doubled to P8.82 billion, posting an annual increase of 111.7 percent. Additions also rose by 18.9 percent to P728.84 million.
Other constructions, which include demolition, street furniture, landscaping and signboards, declined by 12.8 percent to P750.43 million.
The higher value of approved projects came even as the number of constructions slipped by 0.3 percent to 17,081 from 17,126 a year earlier. The decline, however, was slower than the 6.5 percent contraction recorded in May.
Residential buildings continued to account for the majority of approved constructions at 11,392, or 66.7 percent of the total, despite declining by 2.1 percent year on year.
Of the residential projects approved during the month, 9,272 or 81.4 percent were single houses.
Meanwhile, the number of non-residential constructions increased by 4.6 percent to 3,352, accounting for 19.6 percent of the total. Commercial buildings comprised the majority of these projects at 2,243.
PSA said total approved floor area also declined by 11.1 percent to 4.21 million square meters from 4.74 million square meters a year earlier.
Non-residential floor area expanded by 11.2 percent to 2.52 million square meters, while residential floor area contracted by 32.2 percent to 1.64 million square meters.
The average construction cost consequently rose by 31.1 percent to P15,365.21 per square meter from P11,723.71 per square meter in June 2025.
The PSA noted that the average construction cost excludes alteration and repair activities, as well as certain non-residential projects without reported floor areas.
According to the agency, construction statistics derived from approved building permits provide an indication of the level of building activity nationwide, including the number, type, and value of projects approved each month.