K&H: SMEs are uncertain, they don’t know when the situation will get better

By: Trademagazin Date: 2023. 07. 14. 12:12

There is a lot of uncertainty among domestic enterprises: this is indicated by the fact that the K&H SME confidence index has barely changed compared to the beginning of the year, which currently stands at -5 points. The companies are expecting a favorable turn only in connection with corporate loan interest rates, while they have long seen the development of their competitive situation to be so intense. Although the confidence of medium-sized enterprises decreased significantly compared to the previous quarter, their expectations are still the only ones in the positive range. Sectors have different views on the next year.

The confidence of companies has come to a standstill. The K&H SME confidence index, which indicates the expectations of Hungarian micro, small and medium-sized enterprises for the next year, has barely changed compared to -4 points at the beginning of the year, and currently stands at -5 points. Although the improvement following the low point reached in the third quarter of last year (-14) did not continue and the positive range is still far away, the mood of the companies did not deteriorate significantly.

“Uncertainty can be felt in the sector, which is shown on the one hand by the fact that the mood of the companies did not change significantly compared to the previous quarter, and on the other hand by the fact that the index has not been so permanently in the negative range since 2016. The current stagnation can be attributed to the factors influencing the index most of them have barely changed. Companies expect a significant improvement only in relation to corporate loan interest rates, while they see the development of their competitive situation less brightly”

– said Zoltán Rammacher, head of K&H SME marketing and sales support.