GKI economic sentiment index declines in May, inflation expectations improve

Business prospects hit their nadir in January 2025, followed by a slight positive trend in April, which stalled in May when GKI’s business confidence index was down more than 2 points compared to the previous survey.

May is the fifth consecutive month in which the price indicator – the indicator summarising the price plans of the business sector in a single figure – fell compared to the previous month. This brings the indicator to its lowest level in seven months. Price increase intentions declined in all four sectors, particularly among business service providers. In the next three months 20% of companies would like to raise prices, while 8% are planning price cuts. A month ago these figures were 26% and 8%, respectively. In May the GKI consumer confidence index basically fell back to the level seen between January and March.