Entrepreneurs have a little more faith in the economy. Entrepreneurs are especially excited about upcoming production in the sector, according to data from Statistics Netherlands. “It’s surprising, because production has slowed slightly in recent months,” says Peter Hein van Mulligen, chief economist at CBS.
However, confidence is still high, says the chief economist. “Confidence has risen again since September, although this is not the case everywhere.” Because in more than half of the sectors, producer confidence fell in March. The atmosphere is particularly gloomy in the oil and chemical sectors. ‘Due to high oil prices, their sales and production have also become much more expensive. This scares customers. You notice it even when you use diesel, because that fuel is much more expensive than normal.’
More production
Confidence has improved in larger business classes such as the food, beverage and tobacco industries and the electrical and mechanical industries. As in previous months, entrepreneurs from the electrical engineering and machinery sectors were the most positive. These sectors ‘expect to produce more and more’ business,’ says Van Mulligen. ‘However, high prices are their concern.’
Trust is measured by Statistics Netherlands in figures. The producer confidence index came in at 4.0 this month, up from 3.7 last month. Looking at the long-term average of 1.2, confidence is well above that value. This is mainly due to the low point reached in April 2020, when the index hit minus 28.7.
Source: BNR
Andrew Dwight is an author and economy journalist who writes for 24 News Globe. He has a deep understanding of financial markets and a passion for analyzing economic trends and news. With a talent for breaking down complex economic concepts into easily understandable terms, Andrew has become a respected voice in the field of economics journalism.
