Sentiment in the Croatian economy slightly deteriorated in May as a wave of pessimism in retail and the service sector outweighed better results in industry and among consumers, according to a survey by the European Commission.
The Economic Sentiment Index (ESI) in Croatia fell by 0.4 points in May compared to April, to 108.4 points, the EC report shows.
The most significant deterioration was observed in the retail and service sectors, reflecting a considerably worse assessment of business in the previous three months, particularly in the services sector, indicated by a drop in the index of as much as 10.2 points compared to the record value in April.
Indices that encompass both business assessments and demand expectations for the next three months fell in retail and the service sector by 5.8 and 3.2 points, respectively, the survey revealed.
In the construction sector, sentiment remained unchanged compared to April.
A survey among consumers, however, showed improvement, reflected in an increase in the index by 2.7 points, and enhanced optimism was also expressed by industry sector leaders, according to an increase in the index by 1.3 points.
Business leaders’ estimates regarding employment remained at the April level, with the index stagnating at 112.8 points.
The survey also indicated a noticeable easing of uncertainty expectations in business, as evidenced by the decline of the EUI index to minus 2.9 points, from minus 1.2 points in the previous month.
