24 August 2017

2017- n° 221

In August 2017, the business climate in services improves again Monthly survey of services - August 2017

According to business managers surveyed in August 2017, the business climate in services has improved again. The business climate composite indicator has increased by two points (106) and 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 general outlook, which relates the assessment of business leaders over their whole sector, has gone up slightly again. The balances on activity and demand have also increased and stand clearly above their long-term average.

The balance on expected employment is virtually stable above its long-term average. However, that on past employment has declined markedly, returning close to its long-term average.

The balances on past and expected investments have increased slightly, thus remaining above their long-term average.

In every services sub-sector, the business climate indicator stands above its long-term average. It has improved sharply in accommodation and food service activities and in information and communication, and more slightly in administrative and support service activities. It is stable in road transport. However, it has slightly weakened in professional, scientific and technical activities, and it has deteriorated in real estate activities.

In road transport, the business climate is unchanged. At 109, it stands well above its long-term average. The expectations on activity and demand have improved, as well as the balance on general outlook. However, the balances on past activity and employment have gone down, while remaining above their long-term average.

In accommodation and food services, the business climate has rebounded and has gained seven points, to 107. All balances have improved markedly. Almost all balances stand above their long-term average; only those on employment stand at their average or almost.

In information and communication, the business climate has gone up again (+3 points) and stands above its long-term average (104). The balances on past activity and expected demand have increased strongly, returning above their long-term average. The balances on employment remain clearly above their long-term average.

In real estate activities, the business climate has decreased by seven points. Whereas it was very favourable (109 in July), it has fallen back to 102, slightly above its long-term average (100). The balances on activity, past employment and general outlook have gone down.

The business climate in professional, scientific and technical activities has decreased by one point (105) but remains well above its long-term average. The balances on expected demand and general outlook have declined but remain above their long-term average. The balance on past employment has decreased again, returning below its long-term average.

In administrative and support service activities, the business climate indicator has regained one point. At 104, it stands above its long-term average. The balances on activity and demand are almost unchanged. The balance on past employment has sharply declined, moving towards its long-term average. However, that on general outlook has increased again.