IOΒE: Greek economic sentiment index slightly up in May

The Greek economic sentiment index edged higher to 100.8 points in May from 100.3 in April, but remained lower compared with a 103.6-point reading recorded in May last year, the Foundation for Economic and Industrial Research (IOBE) said in a report released on Monday.

IOBE said that business expectations were mixed, with retail commerce and services showing a slight improvement, while construction deteriorated. Consumer confidence rose for the third month in a row, bringing the index to its second-highest level since December 2009 (boosted by a pre-election environment).

More specifically, business expectations in the industrial sector showed a slightly improvement in negative estimates on demand and new orders, while there was only slight change in the balance of estimates over production in the coming months, along with estimates over inventories. In the construction sector, expectations over works programmes improved slightly, while expectations over employment fell moderately. In the retail commerce sector, positive estimates of current sales rose markedly in contrast with estimates over short-term trends, while inventories were rising. In the services sector, estimates over the current condition of enterprises changed only marginally, although expectations over current demand rose.

Greek households were more optimistic over the country’s finances and their own finances. Saving intentions improved and expectations of unemployment declined.