Industry
The composite business climate indicator in industry kept in January its high level reached in summer of 2006.
In comparison with December, in current month, the managers' assessments of present production activity in enterprises slightly improved, which was accompanied also by a higher level of orders from abroad. At the same time the production assurance with domestic orders deteriorated and the expectations about the production activity over the next 3 months were more moderate. There was also a similar moderation in the managers' expectations about the hiring labour over the next 3 months.
In the period from October 2006 until January 2007 the production assurance with orders (measured in months) decreased from 7.7 to 7.2 and the average capacity utilization was assessed as 74.0%. In comparison with 3 months before the assessments of competitive position of enterprises on the foreign market improved, while the assessments of competitive position of enterprises on the domestic market remained unchanged.
As regards selling prices around one fifth of the managers in the sector foresaw an advance.
Construction
In January the higher optimism in the assessments about the present business situation and the expectations for the 6 months ahead increased the level of the business climate indicator in the construction by 7.3 percentage points in comparison with the previous month. Managers' expectations about the activity and expectations about employees in the branch over the next 3 months were also optimistic. The assessments about the production assurance with orders (measured in months) have improved, too - from 5.0 months in October 2006 up to 5.2 months in January 2007, as in the same time the construction entrepreneurs expected inflow of new orders over the next 6 months The inquires recorded a considerable decrease in the number of clients with delay in payments over the last 3 months.
Concerning the selling prices in construction around one third of the enterprises foresaw an advance.
Retail trade
In January the economic conjuncture in retail trade remained favourable and the composite indicator of business climate kept approximately its level of the previous month. On retailers' opinions the sales over the last 3 months were increased and reached a long-term maximum since 1994. Their expectations as about the sales as well about the orders placed with suppliers over the next 3 months remained also optimistic.
The main factor limiting to a great extend the business development in the branch continued to be the competition in own sector showed by 48.7% of retail trade firms.
The expectations about an advance of selling prices in retail trade remained.
Service sector
In January 2007 the economic conjuncture in service sector remained also favourable. The composite business climate indicator kept its last month level. The managers were more moderate in their assessments about the present business situation of enterprises and about the expected development of their business over the next 6 months.
According to them the present demand for services was retained in comparison with a month before and their expectations for the next 3 months also showed that it would keep the same level (58.3% of the enterprises) or would increase (38.8%).
Source: NSI
