Nearly two-thirds of new jobless people registered with job centers across the continent in July come from real estate activities, one of the sectors most affected by the monetary policy changes reflected in the housing market.
The number of unemployed people looking for a new job on the continent totaled 245,864 in July, an increase of 9,775 compared to the same month of the previous year and 6,345 compared to June, according to data from the Institute of Employment and Vocational Training ( IEFP) released today. .
The real estate, administrative activities and support services sector recorded an increase of 5,932 new unemployed people registered in homologous terms in the mainland, representing almost two-thirds (60.7%) of the global increase.
Also compared to June, there was an increase of 1,916 in the number of registered unemployed on the mainland in the real estate sector.
“There are some sectors that are more vulnerable to the impact of monetary policy changes, namely real estate activities, because of the rise in interest rates, which are reflected in the housing market,” Paulo Marques, a professor in the Department of Political Economy at ISCTE, told Lusa — University Institute of Lisbon and coordinator of the Youth Employment Observatory.
According to the economist, the unemployment data recorded on the continent reveal “a great weight of this sector, which is strongly influenced by the current context, namely people working in real estate agencies”.
The real estate sector has grown enormously in Portugal since 2016, but now, “with the difficulty in the internal market to access credit, it is greatly affected,” added Paulo Marques.
According to IEFP data, the number of registered unemployed in the country as a whole (mainland and autonomous regions) has increased by 2.5% year-on-year and by 2.4% compared to the previous month, to 284,330.
This is the first ascent since January.
Source: DN
