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Companies moderately evaluate the results of their activities in the context of the extension of adaptive quarantine.
The business activity expectations index remains below the neutral value of 50 points, which indicates the predominance of pessimistic forecasts in the business.
The business activity expectations index rose one point in August to 47.9. This was announced on Tuesday, September 1 by the Interfax-Ukraine news agency, citing data from the National Bank.
In July, the index grew 1.5 points, in June, 9.6 points, while it remains below the neutral value of 50 points, which indicates the prevalence of pessimistic forecasts in business.
“Companies are restricted when evaluating the results of their activities in the context of the extension of the adaptive quarantine. The expectations of companies for the fourth consecutive month are below equilibrium values,” said the National Bank.
Commercial companies improved their expectations in August: 4.3 points to 52.3. In industry, business expectations increased 0.8 pp to 48.3.
Industry representatives lowered their estimates of raw material stocks and supplies from 52.7 in July to 42.9 in August, but raised expectations of an increase in the prices of their own products from 59.1 to 63.3 .
The representatives of the construction companies and the services sector worsened their expectations by 2.7 points and 0.3 points, to 38.9 and 46.2, respectively.
Commercial companies are the only ones that do not expect a change in the total number of employees with an expectation index of 50 points, while in the services sector, construction and industry, pessimistic sentiments continue to prevail: 45.1 points, 44, 9 points and 35.7 points.
Recall that in July 2020, the company continued to adapt to work in quarantine conditions, but continues to plan to reduce the total number of employees.
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