The economic climate deteriorated in June

The Economic Climate in Cyprus deteriorated in June, with the Economic Situation Index (DOS) being driven downwards by the declining business climate in the services, manufacturing and retail sectors.

In particular, the DOS, compiled by the Center for Economic Research (JCC) of the University of Cyprus, showed a decrease of 1,4 points in June, falling to 99,8 points compared to 101,2 points in the previous month.

"The reduction of the DOS is due to the decline of the business climate in the sectors of services, manufacturing and retail," says the JV.

According to the JCC, companies in the services assessed their recent financial situation less favorably, resulting in a decline in the climate in the sector.

The climate in the retail trade showed a marginal decline due to more negative evaluations for the sales of the last quarter and more pessimistic estimates for the future sales.

At the same time, manufacturing companies rated their finished product stocks more unfavorably and revised down their estimates for next quarter's production, leading the climate to decline.

In construction, the climate remained at last month's levels, as the improvement in the current situation was offset by deteriorating expectations.

In June, the consumer climate did not change from the negative levels in May, with the deterioration in consumer responses to their financial situation being offset by improved estimates of the future economic situation of Cyprus and the strengthening of intentions for large markets.

According to the JCC, in June the Economic Uncertainty Index for Cyprus decreased for the third consecutive month due to a decline in uncertainty between companies.

In particular, the levels of uncertainty recorded in June in services, retail and manufacturing were lower than in May, while in construction they remained almost constant. However, consumer uncertainty increased further in June, the JCC notes.

KYPE