FX.co ★ Irish Construction Activity Shrinks Most in Nearly 3 Years

In September 2025, the AIB Ireland Construction PMI declined to 43.7, down from 45.9 in the previous month, marking the fifth consecutive month of contraction in the construction sector. This downturn represents the most significant decline since December 2022, primarily driven by a sharper reduction in new orders, with employment also contracting for the first time in seven months. The most pronounced decrease occurred in civil engineering activity, and commercial activity saw its most substantial decline since December 2023. New orders experienced their second month of decline, with the rate of decrease, while moderate, being the fastest in over 18 months. Purchasing activity was reduced considerably, and suppliers continued to face extended delivery times, attributed to staff shortages and challenges in importing goods. Although input cost inflation eased to its lowest point in ten months, output cost inflation slowed to a three-month low. Business sentiment slightly weakened and stood below the average for the series.