EU Economic Sentiment Indicator motionless in February

2010-03-09

In February the Economic Sentiment Indicator (ESI)[1] stood still after 10 months of continuous improvement, according to a survey prepared the European Commission. The indicator reached 97.4 (a 0.2 point month-on-month increase) in the EU but is still far from its long-term average.
Among the largest member states, the most marked declines in sentiment (particularly in industry) were reported by France (-1.9 points) and Italy (-1.7) in comparison with January 2010. The most substantial increases, on the other hand, were noted by Poland (+4.2), Spain (+1.1), Germany (+0.9) and the Netherlands (+0.9). Confidence in the construction industry increased by 2 points in the EU overall.

Among the states of Central Europe the country which noted the most marked month-on-month rise in the ESI in February after Poland was the Czech Republic ‑ +2.2 points. Poland also boasted the highest ESI value – 98.8 points, surpassing the February ESI for the EU overall (97.4). The only country in the CE region which registered a fall in the economic sentiment indicator between January and February 2010 was Bulgaria (-0.3 points), which also reported a fall in the ESI in comparison with February 2009 (-4.2). The February indicator was also lower year on year in Romania (-0.2 points). Other countries of Central Europe boasted year-on-year increases, the most substantial being that of Hungary (+25.8).

Confidence in the construction industry in most of the states of the CE region improved in February in comparison with January, with the exception of Romania (-1 point) and the Czech Republic (-5). In comparison with February 2009, however, the construction confidence indicator fell in all of the CE countries apart from Hungary, where it rose by 10 points over the year. The highest construction confidence indicator value among the CE countries in February 2010 was reported in Poland.