Effect of Inflation on the Delivery of Construction Project in Nigeria
AN APPARAISAL OF THE EFFECT OF INFLATION ON THE DELIVERY OF CONSTRUCTION PROJECT IN NIGERIA.
SUMMITED BY
SANUSI, AZEEZ OLUWAWEMIMO
HND II QUANTITY SURVEYING
REG: 093052006
A PROJECT REPORT
TO
DEPARTMENT OF QUANTITY SURVEYING,
SCHOOL OF ENVIROMENTAL STUDIES,
LAGOS STATE POLYTECHNIC
IKORODU CAMPUS
IN PARTIAL FULFILLMENT FOR THE AWARD
OF
HIGHER NATIONAL DIPLOMA
IN
DEPARTMENT OF QUANTITY SURVEYING
2.10 INTRODUCTION Inflation has been in existence in the construction industry from time immemorial. Although, it was in significant during the stone age but in recent years has been so permanent due to technological development, complexity of client, construction cost and variation to meet the tastes of the day. In order to understand what Inflation on construction project is, the various ways by which it present itself must be diagnosed. That is, the cause and effect on the construction project should be known.
Tim McMahon (2008) define, Inflation is a persistent increase in the level of consumer prices or a persistent decline in the purchasing power of money.
In other word according to this definition inflation is thing getting more expensive, caused by an increase in available currency and credit beyond the of available goods and services.
In addition, inflation is a sustained increase in the general level of price of goods and services. It is a measure of annual increase. As inflation rises the percentage of goods and services rises. The Construction industry is an important sector of any national economy, since the capital investments of any country, to large extent, is based on efficiency of the sector. Inflation has become a chronic problem whose effects permeate the entire construction Industry. Owners are not only paying for the increase cost of facility and capital but also for premiums on construction prices because of the uncertainties of inflation and its side effect.
2.11 STATEMENT OF RESEARCH PROBLEM 1. Inappropriate
SUMMITED BY
SANUSI, AZEEZ OLUWAWEMIMO
HND II QUANTITY SURVEYING
REG: 093052006
A PROJECT REPORT
TO
DEPARTMENT OF QUANTITY SURVEYING,
SCHOOL OF ENVIROMENTAL STUDIES,
LAGOS STATE POLYTECHNIC
IKORODU CAMPUS
IN PARTIAL FULFILLMENT FOR THE AWARD
OF
HIGHER NATIONAL DIPLOMA
IN
DEPARTMENT OF QUANTITY SURVEYING
2.10 INTRODUCTION Inflation has been in existence in the construction industry from time immemorial. Although, it was in significant during the stone age but in recent years has been so permanent due to technological development, complexity of client, construction cost and variation to meet the tastes of the day. In order to understand what Inflation on construction project is, the various ways by which it present itself must be diagnosed. That is, the cause and effect on the construction project should be known.
Tim McMahon (2008) define, Inflation is a persistent increase in the level of consumer prices or a persistent decline in the purchasing power of money.
In other word according to this definition inflation is thing getting more expensive, caused by an increase in available currency and credit beyond the of available goods and services.
In addition, inflation is a sustained increase in the general level of price of goods and services. It is a measure of annual increase. As inflation rises the percentage of goods and services rises. The Construction industry is an important sector of any national economy, since the capital investments of any country, to large extent, is based on efficiency of the sector. Inflation has become a chronic problem whose effects permeate the entire construction Industry. Owners are not only paying for the increase cost of facility and capital but also for premiums on construction prices because of the uncertainties of inflation and its side effect.
2.11 STATEMENT OF RESEARCH PROBLEM 1. Inappropriate