The economic sentiment indicator continued shrinking in July. According to the data of the Slovak Statistics Office (ŠÚ), its value dropped 0.4 percentage points from June to 96.5 points, owing to negative development in all of its partial indicators.
The economic sentiment indicator thus fell 13.1 points year-on-year and lost 4.5 points compared with the long-term average. In June, the economic sentiment indicator declined 0.6 points month-on-month. The confidence indicator in industry went down by 1.6 percentage points in July following June's growth. Its development was mainly influenced by the decrease in the output projected for the next three months and lower demand for industrial goods. The confidence indicator in the building sector fell 2.5 points to minus 4.5 points. It still exceeds the long-term average by 17.5 points.
The indicator was affected by lower demand for construction output and slower growth dynamics of forecast employment. The confidence indicator in the retail sector underwent a two-point decrease to 18.3 points in the sixth month of this year. It exceeds the long-term average level by 5.3 percentage points. The confidence indicator in the sector of services shrank by 1.7 points to 22 points. A more negative assessment of the situation in the business sector hit its development. Consumer atmosphere, too, deteriorated. Due to concerns about the worsening of the economic situation in the country, unemployment growth and swelling doubts on households' possibilities to save part of their income, the consumer confidence indicator declined 2.4 points to minus 8.8 points, while it remained above the long-term average.
Compared with the same period of last year, consumer confidence dropped by 11.1 points. SITA
Compiled by Zuzana Vilikovská from press reports
The Slovak Spectator cannot vouch for the accuracy of the information presented in its Flash News postings.
29. Jul 2008 at 20:30