Monaco economy dips in 2025 as major building projects wind down
By Zak Jackson, MonacoViews Editorial
New IMSEE figures published on 23 June show Monaco's economy remains strong despite a modest decline, with the construction sector cooling after a decade of landmark development activity.
The Principality's annual economic barometer, released by IMSEE on 23 June 2026, confirms that 2025 brought a slight contraction in overall economic activity, though the underlying picture remains healthy by any meaningful measure. The headline dip is largely attributed to the winding down of the major construction projects that sustained the building sector for much of the past decade.
Those large-scale developments, which generated sustained revenue and employment throughout the 2010s and into the early 2020s, have now reached completion or near-completion, leaving a natural gap in construction output. The IMSEE figures quantify the impact of that transition, making clear it is a structural shift rather than a sign of broader economic weakness.
For residents and property owners, the data offers some reassurance. A year described by analysts as a slight retreat is, in the context of Monaco's economic trajectory, still a strong result. The more telling question will be which sectors step in to sustain activity now that the construction pipeline has thinned, and whether new projects, including any linked to ongoing urban planning discussions, are in a position to fill that role in the years ahead.