ΙΟΒΕ: Greek economic sentiment index up significantly in July

Greek economic sentiment index rose significantly in July to 98.2 points, from 94 points in June, to its highest level since February 2015, the Foundation for Economic and Industrial Research (IOBE) said on Tuesday.

In its monthly survey, IOBE said the constructions sector recorded the biggest improvement, boosted by public works, while other sectors showed small positive or negative fluctuations. Completion of a second review of the Greek program, disbursement of a loan and an increasing confidence that the program remain into orbit -although with delays- contributed to a gradual reversal of pessimism among businesses and consumers.

IOBE said improving expectations was related with the dynamism of incoming tourism and improving export performance. An improvement in consumer confidence, on the other hand, was the result of less negative predictions over unemployment trends.
Overall, economic sentiment index trends signaled a positive growth rates of the economy in the second quarter of 2017.

More specifically, in the industrial sector, expectations over production in the next few months deteriorated while expectations over orders and demand improved. In the constructions sector, expectations over work program turned positive along with forecasts over employment. In the retail commerce, expectations over current sales deteriorated, along with forecasts over their short-term development, while estimates over inventories moved slightly up. In the services sector, expectations over current situation of enterprises improved along with forecasts over current demand.

Consumer confidence showed a significant improvement over unemployment, although forecasts over household and public finances deteriorated and saving intentions remained unchanged in July.