ifo Business Climate Eastern Germany Rises Once More (September 2019)
In September, the mood among eastern German company managers brightened once again. The ifo Business Climate Index for the entire regional economy rose slightly from 99.6 to 100.2 points. The businesses surveyed raised both their assessments of the current situation and their business expectations somewhat compared to the previous month. The Business Climate Index for eastern Germany thus rose again for the first time in five months.
In eastern German manufacturing, sentiment was marginally gloomier. The businesses surveyed rated their current business less positively than in the previous month, while they raised their expectations for the coming six months slightly.
Meanwhile, the ifo Business Climate Index in the eastern German service sector turned much brighter. Both the assessment of the situation and business expectations of the service providers surveyed were on the up.
In eastern German trade, September saw a definite continuation of the downward trend of the previous months. This was mainly due to the noticeably less optimistic assessments of current business. The sub-indices for both wholesale and retail trade declined.
There was a marginal rise in the ifo Business Climate Index in eastern German construction. The businesses surveyed significantly lowered their assessments of the current situation compared with the previous month, while they raised their business expectations for the coming six months markedly.
Prof. Dr. Marcel Thum
Director Ifo Dresden
Prof. Dr. Joachim Ragnitz
Managing Director Ifo Dresden
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