FACTORS AFFECTING COST OF CONSTRUCTION IN RIVERS STATE

The construction industry plays a vital role in the economic development of Rivers State, Nigeria, through the provision of infrastructure, housing, and industrial facilities. However, the increasing cost of construction projects has become a major challenge affecting project delivery, profitability, and overall sector growth. This study investigates the factors affecting the cost of construction in Rivers State, with the aim of identifying the key variables responsible for cost escalation and their impact on project performance. The research adopts a descriptive survey design, utilizing both primary and secondary data sources. Primary data are collected through structured questionnaires administered to construction professionals, including engineers, architects, quantity surveyors, builders, and contractors operating within Rivers State. Data are analyzed using statistical tools such as frequency distributions, mean score ranking, and percentage analysis. Findings indicate that fluctuations in the prices of construction materials, inflation, exchange rate instability, labor costs, transportation expenses, inadequate project planning, government policies, and delays in project execution are among the most significant factors influencing construction costs in the state. The study also reveals that external economic conditions and the unique environmental characteristics of Rivers State contribute substantially to cost variations.