Greek economic sentiment climbs to a 12-month high

The Greek economic sentiment index rose to 108.8 points in April from 107 in March, the highest reading in the last 12 months, the Foundation for Economic and Industrial Research (IOBE) said in a report on Wednesday.

IOBE attributed this development to an improvement of expectations in the retail commerce and services sectors, with all other sectors falling and consumer confidence deteriorating.

Greek households continued to suffer from rising prices in food and other basic items.

However, consumer confidence on average was moving higher compared with last year’s average.

IOBE said that expectations remained positive ahead of the general elections on May 21, although a wait-and-see stance was evident ahead of the economic policy to be announced after the elections.

Expectations in the industrial sector, in particular, remained flat on new orders and demand, along with positive estimates over production in the coming months.

In the construction sector, negative estimates over production grew significantly, while positive estimates over employment weakened.

In the retail commerce sector, estimates over current sales remained unchanged, while expectations over the short-term sales trend improved significantly.

In the services sector, positive estimates over the current condition of enterprises rose significantly, with expectations concerning demand rising.

Greek households were more pessimistic about their own and the country’s finances, while expectations over major purchases and savings fell slightly.