Business confidence improved slightly

Among the main sectors, manufacturing confidence remained unchanged, while other sectors saw a slight increase.

Manufacturing confidence remained unchanged in October

The balance figure measuring the confidence of manufacturing companies was -12 in October, the same level as in September. The indicator is clearly below the long-term average, which is 0.

Production is expected to grow slowly in the coming months. The order backlog is still significantly lower than usual. Finished goods inventories decreased slightly but are larger than average. Capacity is fully utilized by only 56 percent.

In Finland, manufacturing confidence in September was weaker than the EU average.

Weak confidence in construction recovered slightly

The confidence indicator for construction is still at a weak level, but it strengthened slightly in October. The latest balance figure is -31 points, which is five points higher than in September. The long-term average of the confidence indicator is -8.

The order backlog in construction continued to improve slightly in October, but it is still significantly below normal. The workforce is expected to decrease slightly more gradually than before.

In September, Finland’s construction confidence was the weakest among EU countries.

Confidence in services strengthened marginally

Confidence in services strengthened slightly in October. The latest balance figure for the confidence indicator is +2, compared to 0 in the previous month. The long-term average for the services sector indicator is +11.

The economic trend has been described as rather modest in recent months. However, sales have increased somewhat, and slight growth is expected in the coming months.

In September, Finland’s confidence in services was the second weakest among EU countries.

Retail confidence improved gradually

The confidence of retail companies strengthened slightly in October. The latest reading of the confidence indicator is -6 points, compared to -9 in the previous month. The long-term average is -2.

The sharp decline in sales continued to slow down in October. In the coming months, the decline in sales is expected to end, and sales figures are expected to remain stable. Inventories remained almost unchanged and are slightly above average.

In September, Finland’s retail confidence was the third weakest among EU countries.