Economy is Picking up Speed


WIFO-Konjunkturtest (Business Cycle Survey) of May 2021

Sentiment among Austrian companies continued to improve in May. After an increase of 6.2 points, the WIFO Business Climate Index was at 18.0 points (seasonally adjusted). This is the highest value since October 2018. Only in those sectors that continued to be affected by COVID-19 restriction measures the situation assessments remained sceptical. However, economic expectations in all sectors signal optimism. The economy is picking up speed.

The index of current assessments for the economy as a whole rose by 5.6 points in May (excluding seasonal fluctuations) and at 14.8 points was well above the zero line separating positive from negative assessments of the economy. In the service sectors particularly affected by the COVID-19 restrictive measures, the index also improved significantly (+7.3 points) and at 7.2 points was above the zero line for the first time since March 2020. In the construction industry, the situation index stabilised (–0.3 points) and stood at an above-average level of 40.6 points. In the manufacturing sector, the situation index gained 4.8 points signalling a clear improvement in economic momentum at 18.6 points.

The expectations of Austrian companies also improved further compared to the previous month. The index of business expectations gained 6.8 points in May and was markedly optimistic at 21.3 points. In the construction industry, the expectations index rose by 3.7 points and recorded its highest value to date at 32.4 points. In the service sectors, the expectations index gained 10.4 points and was also noticeably optimistic at 21.2 points. In the manufacturing sector, the expectations index also gained momentum (+2.1 points) and was in positive territory at 17.9 points.



Konjunktur nimmt Fahrt auf. Ergebnisse des WIFO-Konjunkturtests vom Mai 2021 (Economy is Picking up Speed. Results of the WIFO-Konjunkturtest (Business Cycle Survey) of May 2021)
WIFO Business Cycle Survey, 2021, (5), 13 pages
Commissioned by: European Commission
Study by: Austrian Institute of Economic Research – Computing Centre for Economics and Social Sciences
Online since: 28.05.2021 14:00
Die Stimmungslage unter den österreichischen Unternehmen verbesserte sich im Mai erneut. Der WIFO-Konjunkturklimaindex notierte nach einem Anstieg von 6,2 Punkten bei 18,0 Punkten (saisonbereinigt). Dies ist der höchste Wert seit Oktober 2018. Allein in den Branchen, die weiterhin von COVID-19-Einschränkungsmaßnahmen betroffen waren, blieben die Lagebeurteilungen skeptisch. Allerdings signalisieren die Konjunkturerwartungen in allen Branchen Optimismus.
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Werner Hölzl

Research groups: Industrial Economics, Innovation and International Competition
© Ahmed Elqsas/
© Ahmed Elqsas/