The mood in large parts of the East German economy has hardly changed recently. While many companies assess their current situation to be somewhat worse than in the previous month, their expectations for the coming months have brightened slightly, as the Ifo Institute announced on Thursday in Dresden. The business climate index for eastern Germany collected monthly by the institute therefore remained almost unchanged at 89.9 points (plus 0.1 points) in October.
Economic researchers observed a positive trend in retail. The business climate here improved noticeably in October. The companies rated both their current situation and their expectations for the next few months significantly better compared to September. In industry, on the other hand, companies reported noticeably worse business than in the previous month, but an improvement is expected in the coming months.
In the past few months, the mood in the East German economy had steadily deteriorated. In April – the highest level so far this year – the barometer was still at 96.6.
The business climate index is based on reports from around 1,700 companies. Every month you are asked about the current business situation and expectations for the next six months, but not about the exact reasons for this. (dpa)