K&H Bank SME confidence index falls to lowest point since onset of crisis

Analysis

K&H Bank’s quarterly index of SME confidence declined 18 points in the fourth quarter of 2011 to minus-44 points, the index’s lowest reading since the onset of the global financial and economic crisis, the bank reported on Wednesday.

Pessimistic expectations mostly concern the outlook on economic policy, taxes and banks’ interest rates while expectations on accessibility of EU funding improved slightly, K&H commented. Economic events and economic policy measures in recent months "have left confidence of SMEs in tatters", the bank said.

The index, started in 2004, which is based on a survey of 700 SME managers, has dropped in four of the past five quarters since reaching a historical high of plus-6 in the second quarter of 2010 as a result of small- and medium-sized businesses’ positive reception of the newly elected Fidesz-KDNP government’s economic action plan.

The index last rose in the second quarter of 2011, when it climbed eight points to minus-12.

ADVERTISEMENT

Used car prices on the rise Analysis

Used car prices on the rise

Meeting called to address Pegasus spyware lacks quorum  Parliament

Meeting called to address Pegasus spyware lacks quorum 

Skanska commercial dev unit names new EVP of operations Hung... Appointments

Skanska commercial dev unit names new EVP of operations Hung...

Zsa Zsa Gabor's ashes buried in Budapest City

Zsa Zsa Gabor's ashes buried in Budapest

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.