ifo Business Climate in Eastern Germany Improves (November 2023)
The ifo Business Climate Index for Eastern Germany rose slightly in November. The barometer of business sentiment for the regional economy in eastern Germany reached 90.7 points, up from 90.0 points in the previous month. Among the companies surveyed, both their assessments of the current situation and their business expectations improved somewhat.
In eastern German manufacturing, the business climate brightened marginally in November. Although the manufacturers surveyed reported slightly better business than in the previous month, they expected somewhat worse business in the coming months than in October.
In the eastern German service sector, the Business Climate Index fell a little in November. The service providers surveyed lowered both their assessments of the current situation and their business expectations slightly.
In eastern German trade, the Business Climate Index rose slightly in November. While the trend in wholesale was extremely positive compared to the previous month, retailers were more pessimistic about the future.
In eastern German construction, the business climate turned much brighter in November. The construction companies surveyed assessed their current business situation as considerably better than in October, and they were somewhat less pessimistic about their future business performance.
Joachim Ragnitz and Marcel Thum
Executive Directors, Dresden Branch of the ifo Institute
