In March 2014 the total business climate indicator increases by 1.2 percentage points compared to its level from the previous month which is due to the improved business climate in construction and retail trade.
Industry. The composite indicator “business climate in industry” decreases by 1.3 percentage points in comparison with February due to the more unfavourable managers’ assessments about the present business situation of the enterprises. However, the inquiry reports a slight improvement of their assessments as regards the production activity and the expectations over the next 3 months are also for an increase of the activity.
The uncertain economic environment and the insufficient domestic demands continue to be the main factors, pointed out by the industrial entrepreneurs as an obstacle for the development of their business.
Concerning the selling prices in industry the prevailing managers’ expectations are for preservation of their level over the next 3 months.
Construction. In March the composite indicator “business climate in construction” increases by 1.5 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 regarding the construction activity over the next 3 months are also favourable as a result of shifting the opinions from “preservation of activity” towards “increase of the activity”.
The main obstacles for the business development in the branch remain connected with the uncertain economic environment, financial problems and competition in the branch as the last inquiry registers an increase of their negative impact.
As regards the selling prices in construction the managers expect them to remain unchanged over the next 3 months.
Retail trade. The composite indicator “business climate in retail trade” increases by 7.0 percentage points compared to the previous month due to the more optimistic retailers’ expectations about the business situation of the enterprises over the next 6 months. The raised optimism in their forecasts as regards both the volume of sales and the orders placed with suppliers over the next 3 months are registered.
The uncertain economic environment, insufficient demand and competition in the branch continue to be the main factors limiting the activity in the branch, as in the last month strengthen of the negative impact of the first two factors is observed.
The majority of the retailers expect the selling prices to preserve over the next 3 months.
Service sector. In March the composite indicator “business climate in service sector” remains approximately its level from February. As regards the demand for services the present tendency is estimated as slightly reduced, while the expectations over the next 3 months are more optimistic.
The most serious factor, limiting the development of the activity in the branch remains the uncertain economic environment, followed by the competition in the branch and insufficient demand, as the last inquiry reports strengthen of their unfavourable influence.
Concerning the selling prices the managers’ expectations are them to remain unchanged over the next 3 months.