In February 2022, the total business climate indicator increases by 1.4 percentage points compared to the previous month. An improvement of the indicator is observed in industry, retail trade and service sector, and in construction a reduction is registered.
Industry.
The composite indicator „business climate in industry“ increases by 2.7 percentage points as a result of the optimistic industrial entrepreneurs’ assessments and expectations about the business situation of the enterprises. At the same time, their forecasts about the production activity over the next 3 months remain favourable.
The uncertain economic environment continues to be the main factor, limiting the business development pointed out by 56.4% of the enterprises. In the background remain the factors „shortage of labour“, „others“ and „insufficient domestic demand“.
According to the last inquiry, the managers’ share who continue to expect the selling prices in industry to increase over the next 3 months is 22.9%.
Construction.
In February, the composite indicator „business climate in construction“ decreases by 0.6 percentage points which is due to the unfavourable construction entrepreneurs’ expectations about the business situation of the enterprises over the next 6 months.
As regards the construction activity over the last 3 months, the inquiry registers certain decrease compared to the previous month, as the forecasts over the next 3 months are more moderate.
The most serious difficulties for the activity of the enterprises remain connected with the uncertain economic environment, costs of materials and shortage of labour, as in the last month strengthening of the negative influence of the first and third factors is reported.
In comparison with January the construction entrepreneurs’ share who forecast the selling prices in the sector to increase over the next 3 months is raising and its reaches 46.6%.
Retail trade.
The composite indicator „business climate in retail trade“ increases by 1.3 percentage points as a result of the improved retailers’ expectations about the business situation of the enterprises over the next 6 months. Their forecasts about the volume of sales over the next 3 months are also optimistic.
The uncertain economic environment continues to be the main factor limiting the business development, followed by the competition in the branch and insufficient demand. The retailers’ assessments about the selling prices in the last month are in the direction of an increase, as 37.6% of the managers foresee them to continue to rise over the next 3 months.
Service sector.
In February, the composite indicator „business climate in service sector“ increases by 1.1 percentage points which is due to the more favourable managers’ expectations about the business situation of the enterprises over the next 6 months. Their opinions about the present and expected demand for services are also positive.
The most serious obstacles for the activity remain the uncertain economic environment and competition in the branch, as in the last month strengthening of their unfavourable impact is observed. As regards the selling prices in the service sector, the managers’ forecasts are them to increase over the next 3 months.