The recovery “should extend to all segments of activity”, the federation said in a statement, adding that construction is set to benefit from economic growth this year that the Bank of Portugal has forecasted at 1.4%, as well as the "positive performance of the labour market”.

It also cited as a factor driving the output increase the “expectation of a perceptible recovery in public investment”, including in construction, in advance of local elections later this year and in view of the drive to make full use of European Union funds available.

The federation expects 3% growth in output in the residential construction, with new builds up 1.4% and urban rehabilitation up 5.8%.

Meanwhile, non-residential construction is seen up 3.1%, driven by public spending up 5% in real terms where construction is concerned, while private construction in this segment is seen increasing 2%.