In August, the Business Activity Expectations Index (BAEI) rose to 49 points, surpassing the figures from July (48.3) and August of last year (48.4). Despite this increase, the index remains below the neutral level of 50 points, indicating continued cautious sentiments among entrepreneurs.
This is reported by Business • Media
Factors Influencing Business Expectations
Positive changes in business outlook are attributed to a revival in consumer demand, stable operation of the energy system, slowing inflation, and seasonal factors. However, negative aspects also affect the overall mood of enterprises: destruction of production capacities and infrastructure, rising costs, increased electricity tariffs for businesses, and a shortage of skilled workers.
Sector Dynamics and Forecasts
The construction sector shows the greatest optimism: here, the index rose to 54 points after 50.6 in July. Industry representatives expect an increase in production volumes, new orders, and purchases, as well as a relaxation of restrictions on contractor availability. In the industrial sector, the index remains below the neutral level — 48.7 compared to 48.6 in the previous month; however, businesses are noting improvements in assessments regarding export orders, unfinished production, and finished goods inventories.
“The Business Activity Expectations Index (BAEI) rose to 49 in August, compared to 48.3 in July and 48.4 in August last year. It is still below the neutral assessments at the level of 50 points, but reflects some improvement in outlook across all sectors.”
Regarding price dynamics, moderate price increases for their own products and services are expected in the construction, trade, and services sectors, while representatives of the industrial sector predict a slight acceleration in price increases. In the labor market, only the construction sector plans to expand its workforce, while other sectors are preparing for staff reductions.