WIFO-Konjunkturtest
Part of the Joint Harmonised EU Programme
of Business and Consumer Surveys
WIFO-Konjunkturtest
Part of the Joint Harmonised EU Programme
of Business and Consumer Surveys

WIFO-Konjunkturampel (economic traffic light)
The results of the WIFO Business Survey in January show a slight improvement in business assessments of the economy compared to the previous month, although the majority remains skeptical. At –5.2 points (seasonally adjusted), the WIFO economic climate index in January was 0.8 points above the previous month's value (–6.0 points). Overall economic situation assessments improved (+1.8 points), but remained in negative territory at –4.3 points. There was no change in economic expectations, which also remained in pessimistic territory at –6.4 points. Despite improvements the economic picture is determined in particular by the continued weakness of the industrial sector. The construction industry declined. The WIFO economic traffic light has turned 'green' and is signaling a cautious improvement in economic momentum at a low level.
Economic Sentiment and Employment Expectations up in the EU and the euro area
In January 2025, the Economic Sentiment Indicator (ESI) picked up by 1.1 points in the EU (to 95.8 points) and by 1.5 points in the euro area (to 95.2 points). The Employment Expectations Indicator (EEI) rebounded as well (EU: +1.1 points to 99.5 points; euro area: +1.6 points to 98.8 points). While the EEI returned close to its long-term average of 100 points, the ESI continues to score below that reference value.
Credit Conditions of Austrian Companies
The credit questions of the WIFO-Konjunkturtest (business cycle survey) allow us to present the assessments and experiences of companies with regard to bank lending. The credit questions are asked quarterly in February, May, August and November.
In November 2024, companies' assessments of banks' willingness to lend – defined as the balance of the proportion of companies that describe banks' lending as accommodating (positive values) and the proportion of companies that describe banks' lending as restrictive (negative values) – improved slightly compared to the previous quarter (+1.6 points), but remained in negative territory at –17.7 points (i.e. the credit hurdle fell). There are differences according to company size: the credit hurdle is higher for smaller companies (less than 50 employees) (–19.3 points) than for medium-sized companies (50 to 250 employees –14.2 points) and large companies (more than 250 employees –9.7 points).
The survey results show little change (+0.2 percentage points compared to the previous quarter) in demand for credit in the aggregate (excluding retail) at 21.4 percent (long-term average: 20.9 percent). In the manufacturing sector, demand for credit is slightly above average (25.1 percent of companies report a need for credit), while demand for credit is average in the construction industry (19.3 percent of companies), the services sector (20.0 percent) and the retail trade (14.9 percent). In terms of company size (excluding retail), 21.8 percent of smaller companies (less than 50 employees) recently reported a need for credit, 21.3 percent of medium-sized companies and 25.3 percent of larger companies (more than 250 employees).
Of the companies with credit requirements (excluding retail), around 33.1 percent had to cut back on the amount or conditions (18.0 percent reported worse conditions, 7.6 percent lower amount and 7.5 percent worse conditions and lower amount than expected). This figure is still above the average of the past five years (30.7 percent). Around 31 percent of companies requiring credit were able to obtain it as expected (5-year average: 43.6 percent). At 35 percent, the proportion of companies with credit requirements that did not receive a loan or did not apply for one was also above average (5-year average: 25.8 percent; around 7.8 percent of all companies surveyed) because the loan application was rejected by the bank (5.0 percent), the conditions were not acceptable (16.0 percent) or they did not attempt to obtain a loan due to lack of opportunity (14.3 percent).
Credit Constraints and Credit Needs
Recent issues: WIFO-Konjunkturtest
Quarterly results of the WIFO-Konjunkturtests
Special issues: WIFO-Konjunkturtest
Recent issues: WIFO-Investitionsbefragung
Contact
For general enquiries, please contact konjunkturtest@wifo.ac.at.