Introduction
 A situation in which the economy of a
country a sudden downturn brought on
by a financial crisis. An economy facing
an economic crisis will most likely
experience a falling GDP ,a drying up of
liquidity and rising/falling prices due to
inflation/deflation
Economic crisis
 Its mean an economic recession is
primarily attributed to the actions taken
control the money supply in an economy
 Inflation is the increse in the prices of
goods and services over the period.
Factors for Financial Crisis
 Sub-prime lending
 Originate and distribute model
 Financial engineering, derivatives
 Credit rating agencies
 Lax regulation
 Large global imbalances
Effect for construction industry
 Contrctor not interest to invest the large money in
the construction industry
 Credit conditions are tightening and obtaining credit
insurance is increasingly difficult
 Construction companies face financing difficulties
and, in some extreme cases, even bankruptcy.
 The contraction in the new housebuilding segment is
continuing and even deepening.
Contin....
 The non-residential market is influenced by the
business climate,
 In general, civil engineering works have fallen back
compared to previous year although it helped to
sustain construction activity in many countries.
How to face economic crisis by
construction industry
 Government decrease the taxes on the construction
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firms and will give the more benifits
Handle limit project
Try to control inflation, interest rate and
unemployment
Find new oppurtunatity to produce product and sell in
a new market
Manage the team with the contractor
Use the new techniques
Conclution
 In order to effectively solve the current
eeconomic crisis sufficient control over
inflation, interest rate and unemployment is
vital
 Try to find new oppurtanities to produce new
product or try expand the market
 Try to reduce imports from other countries
 Motivating the construction wor ks by given
loan at lower interest rate
 Reducing the staffs turnover by giving a higher
salary
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