The real estate construction industry experienced a slower decline in November than previous months, according to new data.
Australian Industry Group/Housing Industry Association (HIA) - Australian Performance of Construction Index shows that the second last month of the year saw a rise of 1.2 points to 37.
Any recording below 50 is a decline - the further away from that number, the worse the decline is.
Employment and construction were two areas which saw growth, up to 35.8 and 41.1 respectively, while the apartments section jumped 14.9 to 42.5 - which is the strongest performance in two years.
Harley Dale, the HIA chief economist said government policy will assist in a recovery.
He commented: "The residential sector and the wider construction industry have a vital role to play in filling the void that will be left by a decline in mining-related investment activity.
"Interest rate cuts form an important component of achieving that objective, but governments, led at the Federal level, need to engage in meaningful taxation reform and other policies that will enhance productivity performance."
He added that the federal government needs to withdraw its vehement determination to bring b the budget back to surplus - saying that such a goal is hurting the recovery of the construction sector and risks growth in the economy for the coming financial year.
