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Managers in Romania expect relative stability in construction, retail trade next three months

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INS - Institutul Naţional de Statistică

Romanian managers estimate for the next three months a relative stability of activity in construction and retail trade, a moderate decrease in the number of employees in construction, retail trade and services as well as price raises, according to the findings of a trend survey published on Thursday by the National Institute of Statistics (INS).

In the May 2020 economic tend survey, managers in the manufacturing industry expect a decrease in production volume for the next three months (short term balance -21%; in April short term balance -70%).

Manufacture of electrical equipment is predicted a short term balance of -38%, while manufacture of coke and refined petroleum products should increase (short term balance + 37% ). Manufacture of basic pharmaceutical products and pharmaceutical preparations should see a moderate decrease (short term balance -13%), compared to the previous period in which stability was estimated (short term balance -4%).

Regarding the number of employees, a decrease in the workforce is estimated, as its short-term balance is put at -26% on the total manufacturing industry. For the prices of industrial products, relative stability is forecasted in the next three months (short term balance + 4%).

According to the May 2020 estimates, construction in the next three months should witness relative stability in production volume (short term balance 0%; in April short term balance -57%). The managers are also estimating a moderate decrease in the number of employees (short term balance -8%). Regarding the prices of construction works, their relative stability is expected (short term balance + 5%).

In the retail sector, the managers are expecting in the next three months relative stability (short term balance + 3%; in April short term balance -58%). The volume of orders to the suppliers of goods by business operators should see relative stability (short term balance -4%).

For the next three months, employers are predicting moderate decrease in the number of employees (short term balance -8%).

For the period immediately ahead, the responding companies estimate an increase in retail prices (short term balance + 22%).

According to the May 2020 estimates, demand for services will decrease in the next three months (short term balance -29%; in April short term balance -62%).

Among the activities that are expected to undergo most significant decreases are artistic creation and performance (short term balance -100%), the business of travel agencies and tour operators (short term balance -82%) and sports and, recreational activities (short term balance -81%).

In the services sector, a moderate decrease in the number of employees is estimated (short term balance -15%). According to the managers, the selling or invoicing prices of the services will tend to decrease moderately (short term balance -9%).

INS says that the short term balance reflected by the survey indicates the perception of business managers on the dynamics of a phenomenon that should not be mistaken for the rate of increase or decrease of any statistical indicator produced by the INS.

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