Economic sentiment in Cyprus improved in December, with the Economic Sentiment Indicator (ESICypERC) increasing by 2.8 points compared with November 2020, the economic research centre of the University of Cyprus said on Wednesday.
The increase in the ESI-CypERC was driven by confidence gains in all sectors, except industry, as well as by improvements in consumer confidence.
The increase in the Services Confidence Indicator resulted from firms’ less adverse assessments of their recent turnover and upward revisions in demand expectations while the Retail Trade Confidence Indicator increased mainly due to more favourable assessments of stock volumes and upward revisions in sales expectations.
And the increase in the Construction Confidence Indicator was driven by improved assessments of the levels of order books and upward revisions in employment expectations.
In contrast, the Industry Confidence Indicator decreased marginally due to downward revisions in production expectations, despite more favourable assessments of the current levels of finished goods stocks.
The Consumer Confidence Indicator registered a small increase; consumers revised their expectations about their future financial conditions and the future economic conditions in Cyprus upwards. In December, consumers’ intentions to make major purchases weakened further, falling to their lowest point since April.