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Business pessimism has decreased – NBU

Photo: rcsme

Industrial enterprises improved their estimates of economic prospects, taking into account the transfer of some enterprises to safer regions, the gradual establishment of supply chains.

Ukrainian business is adapting to the war: in August, the index of business activity expectations rose to 44.1 (in July it was 43.6). This was reported by the press service of the NBU.

The regulator noted that business continues to adapt to military conditions, but the uncertainty, the destruction of production facilities and infrastructure, the forced migration of the population prevent the continuation of the economic activity of businesses at all of the economic sector.

Industrial enterprises improved their estimates of economic prospects, taking into account the relocation of some enterprises to safer regions, the gradual establishment of supply chains and adaptation to new condition. The iodine sector in August was 46.7 compared to 43.1 in July.

The construction sector also strengthened its activity assessment – the index in August reached 41.2 against 35 in July. In particular, this was helped by favorable seasonal conditions and the gradual resumption of construction of residential and non-residential buildings. Pessimism in the expectations of construction volumes and volumes of new orders, as well as the volume of purchases of raw materials and materials, has decreased.

Retailers slightly worsened their expectations for their economic activity, but they are still closer to neutral levels. The sector index in August was 47.4 compared to 48.7 in July. The industry is forecasting a decline in trading volume and is set to reduce trading margins.

The service sector had the most conservative estimate: the sector index worsened to 39.6 from 41.9 in July.

Businesses of all sectors participating in the polls maintain high expectations for an increase in the value of their own products and services against the backdrop of growing expectations of rising prices for raw materials and goods of suppliers. In all sectors, no increase in the total number of employees is expected, but industrial and construction enterprises have noticed some increase in demand for personnel.

Earlier it was reported that some businessmen stopped their activities, some slowed down, but some started earning more than before the war.

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Source: korrespondent

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