26 January 2018

2018- n° 16

In January 2018, the business climate weakens slightly in services Monthly survey of services - January 2018

According to business managers surveyed in January 2018, the business climate has declined a little in services. The composite indicator which measures it has lost two points (109). However, it stands clearly above its long-term average (100).

The turning point indicator remains in the area indicating a favourable short-term economic situation.

The balance on expected activity has fallen back markedly in January. That on past activity has also decreased but to a lesser extent. However, these balances remain above their long-term average. Those on general outlook and on expected demand are steady, well above their average level.

The balances on employment have improved slightly due to temporary work agencies and have exceeded their average even more. Meanwhile, after having reached last October its highest level since October 2008, the balance on difficulties in recruitment has declined slightly.

Since April 2017, the balance on difficulties of supply only has exceeded its long-term average whereas that on difficulties of demand only has been below its average.

The balance on the past result of operating balance is steady, above its average level. That on expected result has grown up slightly and met its average.

The business climate indicator is above its average in all sub-sectors but that in real estate activities. In administrative and support services, it has risen again. However, it has fallen in road transport, in information and communication and in real estate activities.

In road transport, the business climate has lost three points (111), mostly due to the strong fall in the balance on expected activity. The balances on past activity, on expected demand and on past employment have dipped a little. However, the balance on general outlook has improved again. All the balances are significantly above their average.

In accommodation and food service activities, the business climate is steady (112), well above its average level. The sharp drop in the balance on past activity is offset by the increase in the balance on general outlook.

In information and communication, the climate has lost two points (105). However it remains above its long-term average. The balances on expected activity and on general outlook have fallen. In contrast, the balances on employment have improved slightly.

In real estate activities, the business climate has lost six points (85) because of the drop in the balances on expected employment and on expected activity. It is at its lowest level since July 2009, weighed down by the sub-sector of housing rental. The balances on expected activity, on expected employment and on general outlook are markedly below their average.

In professional, scientific and technical activities, the business climate remains at 111, well above its average level. All the balances are clearly above their long-term average.

In administrative and support service activities, the business climate has increased for the sixth month in a row and reached its highest level since June 2007. The balances on past activity and on past employment have increased sharply whereas that on expected activity and on general outlook have edged down.