The CEIZ index in October of this year increased by 0.2 index points compared to September, announced the Economic Institute of Zagreb (EIZ), whose analysts emphasize that the movement of CEIZ, as well as GDP, indicates that the economy is recovering.
The CEIZ index has recorded a pronounced growth trend since June of last year, EIZ reminds, and from then until the end of October this year, the value of the index has cumulatively increased by 2.3 index points.
– Since the last quarter of 2014 until the third quarter of this year, the seasonally adjusted GDP has recorded positive quarterly changes, we can confirm that the movement of both the CEIZ index and GDP indicates that the economy is recovering, assess the analysts of the Economic Institute.
Moreover, they emphasize that, “given that the same pattern continued in the first month of the fourth quarter, it can be expected that the last quarter of this year will be marked by the same positive economic trends that characterized the previous four quarters.” The CEIZ index is a monthly composite indicator of the business cycle developed at the Economic Institute of Zagreb, and its purpose is to provide timely information about the current state of the business cycle, which is why the value of the CEIZ index changes simultaneously with changes in the business cycle.
The CEIZ index is a single-number indicator of the business cycle that contains information that would otherwise need to be collected by analyzing a large number of different economic series. Unlike the time series of quarterly GDP, it provides a monthly assessment of the state of the economy, thereby providing more precise information about changes occurring over shorter periods. It is available one to three months before the release of quarterly GDP data, which allows policymakers and the interested public to timely monitor economic developments, EIZ notes.
