Czech Republic: Business and consumer confidence spur an improvement in economic sentiment in August
August 24, 2017
The economic sentiment indicator, a composite confidence indicator published by the Czech Statistics Office (CSO), improved in August. It rose from the previous month’s result of 97.7 points to reach 98.7 points. This was on the back of an improvement in the confidence of Czech businesses and consumers.
The business confidence sub-indicator rose from 96.1 points in July to reach a seven-month high of 96.8 points in August. The reading reflected improvements in sentiment in three out of the four sectors covered by the index: industry, construction and trade. Meanwhile, confidence in the services sector remained unchanged.
Consumer confidence also increased in August, rising to 107.9 points from July’s 105.7 points. In recent years, this indicator has been the standout confidence indicator in the Czech Republic. August’s increase was largely driven by better job security expectations among consumers.
Author: Edward Gardner, Economist