In January 2016, the total business climate indicator increases by 0.6 percentage points compared to the previous month as a result of the improved business climate in construction and services sector, show the data of the National Statistical Institute.

Industry. The composite indicator “business climate in industry” remains approximately at its December 2015 level. The present production activity is assessed as slight decrease and the industry entrepreneurs’ expectations about the activity over the next 3 months are also more moderate.

The average capacity utilization in January increases by 2.7 percentage points in comparison with October 2015 and it reaches 75.2%  as the enterprises report also a surplus of capacity.

The uncertain economic environment and insufficient domestic demand remain the main obstacles for the business development in the branch.

Concerning the selling prices in industry, the prevailing managers’ expectations are for them to remain unchanged over the next 3 months.

Construction. In January, the composite indicator ‘business climate in construction’ increases by 3.0 percentage points  which is due to the improved construction entrepreneurs’ expectations about the business situation of the enterprises over the next 6 months. Their forecasts as regards the construction activity over the next 3 months are also more favourable.

The production is assured with contracts for a longer time period in comparison with 3 months earlier - 5.3 months against 4.4 in October 2015. At the same time, the managers’ expectations about new orders over the next 6 months are also more optimistic.

Retail trade. The composite indicator “business climate in retail trade” decreases by 3.4 percentage points compared to the previous month - a result of the more unfavourable retailers’ assessments and expectations about the business situation of the enterprises. Their forecasts about the volume of sales and the orders placed with suppliers  over the next 3 months are also more reserved.

In January, the inquiry registers strengthening of the negative impact of the factors “competition in the branch” and “insufficient demand” which shift to the third place the difficulties of the enterprises connected to the uncertain economic environment.

Services sector. In January, the composite indicator “business climate in services sector” increases by 3.9 percentage points which is due to the improved managers’ assessments and expectations about the business situation of the enterprises. As regards the present and expected demand for services, their opinions are also more favourable.