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Sat, Feb 11 2012
Business climate declines again in March
Photo: sxc.hu
The Business Climate Indicator (BCI) for the euro area fell again in March, to its lowest level since January 1985.
This points to another markedly negative outcome for year-on-year industrial production growth in February, after the record fall registered in January.
Given the current levels, it also suggests that industrial production growth will remain clearly subdued in March.
The drop in the BCI reflects a worsening situation in most of its underlying components, a European Commission media statement said.
Managers' assessment of current overall order books and export order books deteriorated even further from last month's level.
Stocks of finished goods have again risen towards December's record highs, while the production trend observed in recent months improved only marginally from a very low level.
Looking forward, managers remain very negative about their production expectations outlook.
In March, the Economic Sentiment Indicator (ESI) for the EU and the euro area declined again, but more slowly than in the first two months of the year amid signs of stabilisation in some sectors.
It fell by 0.6 points in the EU, and by 0.7 points in the euro area, to 60.3 and 64.6, respectively.
The indicators for both regions now stand at their lowest levels since the current series was launched in January 1985.
The fall in the ESI is attributed to the deteriorating sentiment in the industry and services sectors, which fell by the same amount (-2 points) in both regions. In the other sectors, a mixed picture is emerging.
Consumer sentiment stabilised in the EU, but fell by one point in the euro area.
Retail trade increased by two points in the EU and by one point in the euro area, reinforcing the rebound which started in February. Construction in both regions stabilised at the levels seen in February.
Among the largest EU member states, Italy witnessed the most significant decline in sentiment (-4.5 points), while the fall has been more marginal in France and Poland (-1.0), Germany (-0.8) and the UK (-0.4). Economic sentiment recovered slightly in the Netherlands (1.3) and in Spain (0.8).
The financial services confidence indicator - not included in the ESI - improved by one point in the EU but deteriorated by four points in the euro area, reversing the previous month's gain.
Compared to February, managers' expectation of demand for their services worsened in both areas - significantly in the euro area, but to a much lesser extent in the EU.
This points to another markedly negative outcome for year-on-year industrial production growth in February, after the record fall registered in January.
Given the current levels, it also suggests that industrial production growth will remain clearly subdued in March.
The drop in the BCI reflects a worsening situation in most of its underlying components, a European Commission media statement said.
Managers' assessment of current overall order books and export order books deteriorated even further from last month's level.
Stocks of finished goods have again risen towards December's record highs, while the production trend observed in recent months improved only marginally from a very low level.
Looking forward, managers remain very negative about their production expectations outlook.
In March, the Economic Sentiment Indicator (ESI) for the EU and the euro area declined again, but more slowly than in the first two months of the year amid signs of stabilisation in some sectors.
It fell by 0.6 points in the EU, and by 0.7 points in the euro area, to 60.3 and 64.6, respectively.
The indicators for both regions now stand at their lowest levels since the current series was launched in January 1985.
The fall in the ESI is attributed to the deteriorating sentiment in the industry and services sectors, which fell by the same amount (-2 points) in both regions. In the other sectors, a mixed picture is emerging.
Consumer sentiment stabilised in the EU, but fell by one point in the euro area.
Retail trade increased by two points in the EU and by one point in the euro area, reinforcing the rebound which started in February. Construction in both regions stabilised at the levels seen in February.
Among the largest EU member states, Italy witnessed the most significant decline in sentiment (-4.5 points), while the fall has been more marginal in France and Poland (-1.0), Germany (-0.8) and the UK (-0.4). Economic sentiment recovered slightly in the Netherlands (1.3) and in Spain (0.8).
The financial services confidence indicator - not included in the ESI - improved by one point in the EU but deteriorated by four points in the euro area, reversing the previous month's gain.
Compared to February, managers' expectation of demand for their services worsened in both areas - significantly in the euro area, but to a much lesser extent in the EU.
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Appointments
British Council
Lyubov Kostova was appointed country manager of British Council Bulgaria effective January 1, replacing Tony Buckby, who left in October 2011 to take a similar position at British Council Greece. Kostova has been with British Council Bulgaria for 11 years, as public communications manager and, since 2008, as the head of project and partnerships department. Prior to joining the British Council, Kostova was head of international activities at the National Academy for Theatre and Cinema Arts (NATFIZ). She has a degree in Indian studies from Kliment Ohridski Sofia University.
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Stefan Apostolov is the new chief executive of CEZ Razpredelenie Bulgaria, the power transmission subsidiary of Czech energy company CEZ in the country. He replaces interim chief executive Ales Damm, who remains the chairperson of the CEZ Razpredelenie management board. Apostolov has 30 years of experience in the energy sector, joining CEZ in 2007 as director of customer service and was later appointed as head of business development. Apostolov has a master's degree in electric systems from the Belorussian National Technical University in Minsc, management diplomas from Open University London and New Bulgarian University, as well as a master's degree in business administration from Plovdiv University.
BASF Bulgaria
Valentina Dikanska is the new general manager of chemical industry giant BASF subsidiary in Bulgaria, taking over from Herbert Fisch, BASF vice president for Southeastern Europe. Dikanska, who started her career as an expert in the Finance Ministry, joined BASF Bulgaria as director of finance and administration in 2002. She becomes the first Bulgarian to hold the top management position in the company in its 40-year history on the Bulgarian market. Dikanska holds a master's degree in economics from the University for National and World Economy in Sofia.
Rompetrol Bulgaria
Alexander Albin has been appointed chief executive of fuel distributor Rompetrol Bulgaria, replacing Nichita Sorin, who left to become chief executive of Rompetrol Gaz in Romania. Albin was previously chief executive of Rompetrol Georgia. He has more than 15 years of experience in the oil and gas industry; prior to joining Romania's oil group Rompetrol in 2008 as an adviser, he oversaw operations at Atyrau refinery in Kazakhstan, owned by Rompetrol's parent company KazMunaiGaz. He previously held top management positions at two other leading Kazakh oil and gas companies.
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excellent idea Anthony! how effective communism had worked we have seen from '45-'89. and especially BG is still suffering from this legacy (and will in the near and distant future). Do you know in what trouble Venezuela is currently, which is trying to apply communism again? Or are you referring to the China communism, which is everything else but communism.
It is very clear, that people in crisis always tend to refer back to the "good old times" mainly not because it was so good, but 1) it was known and humans are naturally afraid of change b) [...]
Read the full comment only the "good" memories last, the suffering and bad experiences are (psychologically proven) much faster forgotten.
Business climate? Why are you talking about business? Don't you know that business is obsolete? Business is obsolete because it is being replaced by communism. In business,the goal is to abuse the working class,and to subjugate them as much as possible. A business regime,such as the European Union,will try to lower your pay,so you paycheck gets smaller and smaller. At the same time,they will try to increase your rent,so you pay more and more. What do they call this? They call it business! Do you remember when Russians shut off the gas supply to Bulgaria in January,2009? That's business,too! The [...]
Read the full comment Russian government was starting to behave like a business regime,when they shut off your gas in January. This is why business must be replaced by communism. I propose that all the labor unions in the European Union should be united,so they become a single organization. This organization should be called the European Labor Community. All the labor unions in Europe,and all the socialist parties in Europe should unite,to form a single organization,which will be called the European Labor Community.