The business surveys of National Statistical Institute (NSI) carried out in April 2012 show a certain improvement of business conjuncture in the country as the total business climate indicator increases by 3.2 percentage points in comparison with the previous month due to the more favourable managers’ opinions from all observed sectors - industry, construction, retail trade and service sector.
Industry. The composite indicator “business climate in industry” increases by 1.8 percentage points compared to its level in March which is due to the shifting of managers’ assessments about the present business situation of the enterprises from “satisfactory” to “good”. The present production activity continues to be assessed as decreased, and in the expectations about the business situation and the activity in the branch over the next months some optimism has been observed but it is more moderate compared to the previous inquiry.
The average capacity utilization in April is by 2.0 percentage points below its January level and reaches 69.9%. The enterprises report a surplus of capacity with regard to the expected demand over the next months, but this surplus has decreased over the last 3 months.
The major factors limiting the activity in the branch continue to be the uncertain economic environment and the insufficient domestic demand pointed out respectively by 53.6 and 44.4% of the industrial enterprises.
With regard to the selling prices the managers do not expect an increase over the next 3 months.
Construction. In April the composite indicator “business climate in construction” increases by 8.7 percentage points which is due to the more favourable construction entrepreneurs’ assessments and expectations about the business situation of the enterprises. The inquiry reports improvement also in terms of the construction activity (contraction of activity slow down) as expectations for the next 3 months remain optimistic but slightly more reserved compared to March.
The present production assurance with orders is slightly better than the previous month. The production is assured with contracts for a longer time period in comparison with 3 months ago - 6.0 months, against 5.1 in January. At the same time the managers’ expectations about new orders over the next 6 months have improved.
The uncertain economic environment, the financial problems and the insufficient demand remain the main obstacles for the development of the business in the branch.
The construction entrepreneurs do not expect an increase of selling prices over the next 3 months.
Retail trade. In April the composite indicator “business climate in retail trade” increases by 2.3 percentage points compared to the previous month due to the improved assessments about the present business situation of the enterprises. Regarding sales and orders placed with suppliers over the next 3 months the retailers’ expectations are more reserved.
The major factors limiting the activity in the branch continue to be the uncertain economic environment, the insufficient demand and the competition in the branch. In April the first two factors strengthen their negative impact on the business at the expense of the third, which decreases in the last month.
With regard to the selling prices in the retail trade the expectations are to preserve their level over the next 3 months.
Service sector. In April the composite indicator “business climate in service sector” increases by 1.5 percentage points in comparison with March due to the shifting of the manager’s expectations about the business situation of the enterprises over the next 6 months from worsening towards improving or remaining the same. Their opinions about the present and expected demand for services are also improved.
The uncertain economic environment is the most serious factor limiting the activity of the enterprises followed by competition in the branch as in the last month their negative impact has strengthened.
Concerning the selling prices only in the service sector the inquiry registers certain expectations for an increase over the next 3 months.