Public confidence in Tisza government outpaces business sentiment, survey shows

GKI’s EU-backed survey reports that the confidence index climbed to its highest level in four and a half years, gaining eleven points between January and July and edging up by one point in September after a four-point decline in August. Consumer confidence remained unchanged in September, suggesting the surge after the July government transition has settled at a higher baseline rather than falling. Among sectors, only industrial firms posted a confidence increase, while construction, trade and business services showed modest shifts.

Over the next three months, a minority of firms intend to adjust staff numbers, with reductions outnumbering expansions, particularly in construction. Firms also anticipate a slight rise in selling prices, with a small share planning price hikes and an even smaller share considering cuts. Predictability of the business environment improved slightly for industrial companies, whereas trade firms reported a decline.