Business sentiment in the construction sector recorded a five-year low for the month July.

The Construction and Economy Research Institute of Korea said Thursday that the construction business survey index(CBSI) fell three-point-six points from June to 76-point-nine in July.

It's the lowest July reading since a CBSI value of 62-point-one was posted in 2014.

A figure below 100 means companies with a pessimistic sentiment outnumber the optimists. 

The index is designed to measure the sentiment felt by local builders who are members of the Construction Association of Korea.

The index exceeded 80 in June following government investment plans on outdated infrastructure but flopped again in July due to seasonal factors and sluggish economic conditions.