Economic Expectations Slow Down

Uncertainty resulting from the Ukraine war led to a deterioration in economic sentiment among Austrian companies in May. The WIFO Business Climate Index stood at 19.3 points (seasonally adjusted), 5.2 points below the value of the previous month (24.5 points). Assessments of the current economic situation deteriorated only slightly. The high level of uncertainty in the wake of the Ukraine war and the price increases made companies less optimistic about the future. The majority of companies still expect to have to raise prices in the coming months.