Korea: Business confidence strengthens in May
April 30, 2012
Business sentiment improved in May for a fourth consecutive month, rising to the highest level observed since August 2011. The forward-looking Business Survey Index (BSI) on business conditions in the manufacturing sector rose to 90 points, up from 85 points in April. The improvement came on the back of better prospects for production growth, new orders and the financial situation. That said, despite the improvement, the index remains well below the 100-point threshold that separates optimistic from pessimistic territory. Along with the prospective business confidence indicator for May, the Bank of Korea (BOK) also publishes an index on current perception of business conditions, which refers to April. According to the BOK, current perceptions in the manufacturing sector edged up to 84 points in April from 81 points in March.