In May 2015 Bulgaria’s total business climate indicator increases by 3.1 percentage points compared to its April level due to the improved managers’ opinions in construction, retail trade and service sector, show the data of Bulgaria’s National Statistical Institute.
Industry. The composite indicator ‘business climate in industry’ remains approximately to its level from the previous month. The inquiry registers certain improvement of the production assurance with orders, which is accompanied by more favourable expectations about the activity of the enterprises over the next 3 months.
The main obstacles for the business development in the branch remain the uncertain economic environment and insufficient domestic demand pointed out respectively by 55.2% and 25.1% of the industrial entrepreneurs.
Concerning the selling prices the managers’ expectations are for preservation of their level over the next 3 months.
Construction. In May the composite indicator ‘business climate in construction’ increases by 2.5 percentage points, which is due to the more favourable construction entrepreneurs’ assessments about the present business situation of the enterprises. In their opinion the present construction activity preserves its level from the previous month, as their prognoses over the next 3 months remain optimistic, though more reserved compared to April.
The uncertain economic environment, competition in the branch and financial problems continue to be the main factors limiting the activity in the branch, as in the last month strengthen the negative impact of the first two factors is observed.
Retail trade.The composite indicator ‘business climate in retail trade’ increases by 5.7 percentage points compared to the previous month due to the improved retailers’ assessments and expectations about the business situation of the enterprises. Their opinions about the volume of sales over the last 3 months are also favourable as well the expectations over the next 3 months are improve.
The main obstacles for the business development in the branch remain connected to the uncertain economic environment, competition in the branch and insufficient demand, as in the last month a decrease of their unfavourable influence is registered.
Service sector. In May the composite indicator ‘business climate in service sector’ increases by 8.1 percentage points in comparison with April which is due to the more optimistic managers’ assessments and expectations about the business situation of the enterprises.
Concerning the demand for services the present tendency is estimated as improved, but the expectations over the next 3 months are more reserved.
The factors, limiting with the most extent activity of the enterprises in the sector, continue to be the uncertain economic environment and competition in the branch.
As regards the selling prices the managers foresee them to remain unchanged over the next 3 months.