IOBE: Economic Climate in Greece Improved in May

The economic climate in Greece saw an uptick in May, with the index rising to 111 points from April’s 108.8, according to the Foundation for Economic &Industrial Research (IOBE). This boost is driven by business sectors, while consumer confidence dips. Significant gains were observed in Construction and Retail Trade, with a modest rise in Industry. Conversely, Services experienced a decline, except for Tourism, where optimism remains high.

Current data and indicators for incoming tourism are particularly positive, expected to boost not only core tourism sectors but also related areas of the economy.

In more detail, Industry witnessed a slight decline in the negative balance of orders and demand assessments, minor weakening in stock estimates, and a drop in positive production forecasts for the upcoming months.

Regarding Construction, negative forecasts for business project schedules significantly reduced, while positive employment forecasts slightly improved.

Current sales assessments strengthened significantly in Retail Trade while inventory levels slightly decreased, and short-term sales forecasts modestly improved.

Services exhibited a slight improvement in the positive assessments of ongoing business conditions with current demand estimations showing marginal strengthening. However, short-term demand forecasts weakened significantly.

Finally, in terms of Consumer Confidence, households showcased an increase in pessimistic predictions concerning the country’s economic climate, while forecasts for their own economic prospects remained stable.

Conversely, forecasts relating to major purchases slightly improved, alongside a noticeable rise in the intention towards saving.