Turkish business confidence unchanged in May

The overall outlook of Turkish businesses in May saw no major change compared to the previous month, the government statistics agency said in a survey of business outlook by sector released on Monday.

Turkish business confidence unchanged in May

The overall outlook of Turkish businesses in May saw no major change compared to the previous month, the government statistics agency said in a survey of business outlook by sector released on Monday.

The Turkish Statistics Institute (TurkStat) report cited a minor boost in service sector confidence as the most encouraging sign that Turkish domestic consumption is picking up, though those gains were balanced out by a nearly unchanged level of retailer confidence and a worsening outlook among business leaders in the construction sector.

On TurkStat's 0 to 200 point scale, with a score of above 100 indicating an optimistic outlook and a score below 100 showing a pessimistic one, the TurkStat study revealed that confidence in the service sector was 112.6 points, slightly up from 110.8 in April.

Retail trade scored a more upbeat 113.5 but saw almost no change from the 113.6 points registered in April. Construction decreased over the previous month from an already pessimistic 92.6 points to 91.5 points.

The report comes on the heels of credit rater Moody's decision last week to upgrade Turkey's economy to “investment grade,” a move that might see businesses register somewhat more cheery expectations in next month's polls.

Turkey's central bank this month also dropped its main borrowing rate in May after lowering it in April, a move which the bank says is aimed at boosting growth in 2013. Turkey's economy expanded by just 2.2 percent in 2012, and Ankara is hoping for 4 percent growth in 2013.

Cihan

Last Mod: 28 Mayıs 2013, 10:05
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