BAKU, Azerbaijan, Dec.30
By Tamilla Mammadova – Trend:
The Business Association of Georgia (BAG) assesses their business situation negatively in fourth quarter of 2020, while their expectations for the next six months are positive, Trend reports via the BAG.
In fourth quarter of 2020, BAG business climate indicator amounts to -12.8 points, with the present business situation indicator sitting at -30 and the business expectations indicator at 6.5, the survey shows.
As for the expectations for the first quarter of 2021, BAG members identify the following possible trends:
- In 1Q2021, compared to 4Q2020, a small share of the surveyed BAG members (15.1 percent) expect an increase in the number of employees, while 28.3 percent predict a decrease. The majority of surveyed members (56.6 percent) do not expect any change in this regard.
- In 1Q2021, compared to 4Q2020, small proportions of respondents in manufacturing (20 percent), service (12 percent), construction (16.7 percent), and trade (17.6 percent) expect the number of employees to increase.
- In 1Q2021, compared to 4Q2020, 32.1 percent of surveyed BAG members expect sales prices to increase, while 52.8 percent do not expect this figure to change, and 15.1 percent expect sales prices to decrease.
- In 1Q2021, compared to 4Q2020, a large proportion of respondents in the service sector (64 percent) and the construction sector (66.7 percent) do not expect sales prices to change. Moreover, 35.3 percent of those surveyed in the trade sector and 40 percent of those surveyed in the manufacturing have the same expectation.
- In 1Q2021, compared to 4Q2020, half of the surveyed companies in the construction sector expect sales to decrease.
- In 1Q2021, compared to 4Q2020, 80 percent of surveyed businesses in the manufacturing sector expect domestic production to decrease.
- In 1Q2021, compared to 4Q2020, 32 percent of respondents in the service sector expect sales to decrease, while 52.9 percent of respondents in the trade sector have the same expectation.
The Business Association of Georgia (BAG) Index is a joint product of the Business Association of Georgia, PMC Research Center, and the IFO Institute for Economic Research. The BAG Index summarizes the BAG Business Climate and BAG Employment Barometer, which are calculated according to the assessments of the top managers of BAG member businesses. The report also includes an analysis of the impact of COVID-19 on the members of BAG.
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