Turkey: Business confidence rises to record high in April
May 15, 2011
The Real Sector Confidence Index published by the Central Bank rose from 114.8 points in March to 116.7 points in April, remaining just 2.6 points below the record-high observed in April last year. Confidence has lingered above the 100-point threshold that separates optimistic from pessimistic territory since January 2010, suggesting that strong sentiment within the business community will continue to support fixed investment growth. The improvement in business sentiment reflected surging optimism regarding fixed investment expenditures, which had already grown a stellar 29.9% last year, suggesting that the investment cycle remains active. In contrast, the export orders component fell over the previous month. That said, a greater degree of optimism points to investment remaining a strong growth driver in Q1 2011.