Bulgaria’s Business Climate Worsens in December

Bulgaria’s total business climate index has dropped by 0.7 percentage points in December in comparison with the previous month due to the worsening expectations of entrepreneurs in construction, retail trade and services, the national statictical office NSI said on Wednesday.

In December, the business climate index in construction decreased by 1.2 percentage points compared with November as a result of the worsening expectations about the business situation of the enterprises over the next six months, the NSI said in a monthly survey of assessments of the current situation and expectations for the next six months conducted among company managers.

The index measuring the business climate in retail trade  decreased by 0.7 percentage points due to the worsening retailers’ expectations about the business situation of the enterprises over the next half year.

In December, the business climate in services went down by 2.6 percentage points due to increased pessimism in managers’ assessments of the present business situation of the enterprises. Their opinions with regard to the present demand for services are reserved, while their expectations for the next three months have improved in comparison with November.

The business climate indicator in industry was little changed from its November level as interviewed entrepreneurs reported slight improvement of production activity over the last three months. Yet, the managers’ expectations about the activity of the enterprises in industry over the next three months were more reserved as the number of orders has dropped.