A regular monthly poll by Bulgaria’s National Statistical Institute (NSI) found a gloomier business climate in October 2019.
Previous polls had found that business sentiment in September 2019 was largely unchanged from the previous month, when it had been seen as unfavourable. In July, it had been seen as unchanged from June, when it had dropped compared with May – a month in which it had improved compared with April and March.
The NSI said on October 29 that this month, the total business climate indicator decreased by 1.4 percentage points compared to September, as a result of the more unfavourable conjuncture in industry, construction and retail trade.
The composite indicator “business climate in industry” decreased by one percentage point, with managers taking a more moderate view of the business situation of their enterprises.
At the same time, the poll also found reduced expectations about exports and production activity over the next three months.
The composite indicator “business climate in construction” dropped by 3.9 percentage points as managers’ assessments and expectations were more unfavourable. In the next half year, the managers expect decreased inflow of new orders, which they said would lead to a short-term downturn in activity.
The composite indicator “business climate in retail trade” decreased by 2.3 percentage points, with managers more reserved about the business situation of the enterprises. At the same time, their forecasts about both the volume of sales and orders placed with suppliers over the next three months also worsened.
In October 2019, the composite indicator “business climate in service sector” increases by 0.9 percentage points as a result of managers’ more favourable assessments about the present business situation of their enterprises. However, their expectations about the demand for services over the next three months were more reserved, the NSI said./ibna