In April, businesses evaluated their current economic activity more cautiously, approaching a neutral level,

Friday, May 2, 2025
In April, businesses evaluated their current economic activity more cautiously, approaching a neutral level,

according to the NBU Business Activity Expectations Index (BAEI). Among the reasons for the weakened assessments indicated by respondents are significant declines in weather conditions, ongoing uncertainty regarding the future of hostilities, rising business costs for raw materials and labor, accelerating inflation, a decline in the hryvnia’s exchange rate against the euro, and a shortage of skilled personnel.

Meanwhile, positive factors included steady consumer demand, the receipt of international financial assistance, and an unexpectedly favorable situation in the energy sector.

In April 2025, the BAEI stood at 49.4 compared to 51.8 in March 2025 (and 52.3 in April 2024). Industrial enterprises had the most optimistic evaluations of their performance among all sectors: The sectoral index in April was 51.8, down from 53.1 in March.

The surveyed enterprises in industry, trade, and services maintained high expectations regarding the pace of increasing purchase prices, as well as prices and tariffs for their own products and services, while construction companies anticipated a downturn.

 

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