In March 2018, the total business climate indicator increases by 0.7 percentage points compared to February. An improvement of the business conjuncture is registered in construction and retail trade, while in industry preserves to its level from the previous month. Only in the services sector, the indicator is reduced.
Industry. The composite indicator ‘business climate in industry’ remains to its February level. The industrial entrepreneurs assess the present production activity as reduced, as their expectations about the activity over the next 3 months are also slightly worsened.
The main factor limiting the enterprises continues to be the uncertain economic environment, followed by the shortage of labour as the last inquiry reports strengthening of the unfavourable influence of the second factor.
Concerning the selling prices in industry, the managers foresee them to remain unchanged over the next 3 months.
Construction. In March the composite indicator ‘business climate in construction’ increases by 1.2 percentage points which is due to the optimistic construction entrepreneurs’ expectations about the business situation of the enterprises over the next 6 months. The inquiry registers an increase of the new orders inflow at the last month, which is accompanied with more favourable expectations about the activity over the next 3 months.
The main obstacles, limiting the business, remain connected with the uncertain economic environment, competition in the branch and shortage of labour, although in the last month a decrease of the negative impact of the first factor is observed. As regards the selling prices in construction, the managers expect preservation of their level over the next 3 months.
Retail trade. The composite indicator ‘business climate in retail trade’ increases by 3.2 percentage points compared to February as a result of the optimistic retailers’ expectations about the business situation of the enterprises over the next 6 months. At the same time, their forecasts about both the volume of sales and orders placed with suppliers from foreign markets over the next 3 months are improved. The factors ‘competition in the branch’, ‘insufficient demand’ and ‘uncertain economic environment’ continue to limit with most extend the activity of the enterprises.
Concerning the selling prices, the retailers do not expect a change over the next 3 months.
Services sector. In March, the composite indicator ‘business climate in services sector’ decreases by 1.4 percentage points mainly due to the more reserved managers’ assessments about the present business situation of the enterprises. As regards the demand of services, the present tendency is assessed as slight reduced, while the expectations for the next 3 months are improved.
Competition in the branch and uncertain economic environment remain the main problems for the business development.
As regards the selling prices in the services sector, the managers forecast preservation of their level over the next 3 months.
