Domestic construction this year is expected to surpass its 9 percent growth in 2009 as the economy continues to recover.

Philippine Construction Authority executive director Lito Madrasto said the domestic industry is expected to grow a minimum of 9 percent versus last year.

:”We were not badly affected really by the global financial crisis, the banks are awash with cash because of the strong OFW remittances,” Madrasto said.

According to Madrasto, driving the growth of the construction are projects that have been awarded already prior to the effectivity of the election ban.

The catch though is that contractors are not going to start project construction unless the standard downpayment has been given.

The private sector is also expected to lead the growth in the industry with continuing investments in the residential, commercial and tourism sectors.

The growth would be driven by strong demand in the BPO sector and mining sectors.

Along with the improvement in the construction sector is the increase in cement prices.

Madrasto said the increase in cement is basically due to fuel increase noting that 60 percent of the cost of cement production is power.