The climate for business remains good, but companies are increasingly concerned about the future. In December, the index of expectations for the next six months has fallen at a record rate, reaching an all-time low – such are the indications of the Entrepreneurs’ Optimism Index, elaborated on the basis of a survey conducted among members of Employers of Poland.
This month, the index assumed a value of 115.1 points with regards to the assessment of the current business situation, compared to 117.4 points in November. The prognosis for the next six months has also dropped – from 110.3 points to 102.2 points.
Main values of the Entrepreneurs’ Optimism Index – figures for December 2015
After three months of systematic growth, the index related to the assessment of the current situation is starting to drop, but still maintains a relatively high value, signaling further improvement of the economy – though less dynamic than in November. When it comes to prognoses for the future, the positive trend was reversed already in July. In December, these tendencies have gathered some more strength, as indicated by the fact that the subindex of the assessment of the business climate in the next six months has recorded the biggest drop in its history and the lowest value since March 2014. It cannot be ruled out that at the start of next year, more entrepreneurs will expect their economic results to worsen than there will be those who expect their companies to improve. Lingering concerns about a global economic downturn and uncertainty with regards to our country’s economic policy can have an adverse impact on investment dynamic which, in turn, would restrict job creation dynamics and slow down economic growth.
Compared to November, the biggest improvement was recorded in transport in construction. At the same time, both groups exhibit very pessimistic views on the next half a year. Industry and trade are fairly neutral in this respect, while the financial sector signals the worsening of business conditions both short- and long-term. December was the worst month for medium-sized companies. Similarly to past installments of the Index, the biggest entities fared best, The situation of small entrepreneurs continues to improve compared to last month, though the smallest companies tend to be pessimistic.
Assessment of the current business situation Assessment of the business situation in the next six months