Economic Assessments Improve

Results of the WIFO-Konjunkturtest (Business Cycle Survey) of April 2024
The results of the WIFO-Konjunkturtest (business cycle survey) show a further improvement in economic assessments in April, although they remain in the sceptical range. At –3.4 points (seasonally adjusted), the WIFO economic climate index was up 3.7 points on the previous month (–7.1 points). Improvements can be seen in both situation assessments and economic expectations. The economic picture continues to be dominated by the persistently weak industrial sector.

The index of current situation assessments for the total economy rose by 3.9 points in April and was only just in negative territory at –2.9 points. In manufacturing, which is particularly important for the economy, the situation index gained 2.4 points, but at –20.8 points remained well below the zero line that separates positive from negative situation assessments. In the construction industry, the situation index rose significantly (+6.7 points), but was also still in negative territory at –3.5 points. The situation index also increased in the services sector (+3.6 points) and climbed higher into positive territory with a value of 5.5 points. In the retail trade, the situation index improved noticeably (+7.3 points) and, at 10.0 points, was once again well above the zero line.

The index of business expectations for the total economy improved by 3.5 points in April, but at –3.9 points remained below the zero line that separates negative from positive economic expectations. In the retail trade, the expectations index fell slightly (–0.7 points) and remained in the sceptical economic expectations range at –15.8 points. In the services sector, the expectations index rose slightly (+1.9 points) and was in positive territory at 3.2 points. Expectations also rose in the construction industry (+3.8 points). At –0.2 points, the index was close to the zero line. In the manufacturing sector, the expectations index showed a significant improvement in April (+7.6 points). However, at –12.7 points, the index remained in the area of sceptical economic expectations.

Results of the WIFO-Konjunkturtest (Business Cycle Survey) of April 2024
Finalization: April 2024
Project partner Austrian Institute of Economic Research, Economic and Social Science Computing Center
Contractor project: European Commission
Specialist publication: WIFO-Konjunkturtest
Dr. Werner Hölzl
Industrial, Innovation and International Economics