Forum for Science, Industry and Business

Sponsored by:     3M 
Search our Site:

 

KfW-ifo SME barometer: Optimism is making headway

06.03.2013
- Strong increase in business expectations by SMEs
- Assessment of the business situation likewise better
- Large companies cautiously optimistic

The business climate among small and medium-sized enterprises improved in February from 6.1 points to 16.4 balance points. In its 100th issue the KfW-ifo SME barometer showed the third highest increase in the business climate since the beginning of the series.

The impulses are emanating from both components. Business expectations are virtually exploding after two strong increases in the previous months and currently have improved by 8.8 points to 12.2 balance points.

Only one time since German reunification has such a high increase in expectation been achieved. In contrast, the sound improvement in the assessments of the current situation seems almost modest (+3.4 points to 20.3 balance points).

"The very clear improvement in business climate and expectations in the SME sector is pleasing and confirms our positive forecast for the economy. Already in the first quarter the German economy will grow soundly again," said Dr Jörg Zeuner, Chief Economist of KfW. At the same time, we need to maintain a grip on reality. Very strong increases in expectations over a short period harbour some potential for setbacks if disappointments arise.

"The enterprises will have to realise that the recession in the Euro area will continue to have a braking effect for some time and the policy mix in the reforming countries does not allow for very great expectations for the European economy. In addition, the difficult election results in Italy bring up new questions."

Along with the SMEs, in February large enterprises also assessed their business situation (+3.3 points to 12.3 balance points) and their expectations (+5.1 points to 4.8 balance points) more favourably than in the previous month. Their business climate improved by 4.2 points to 8.8 balance points. By itself this is a good result but fades somewhat when measured against the vigorous improvement in sentiment in SMEs and which again widens the gap between both size categories after it had recently closed somewhat.

The more cautious optimism of large enterprises is understandable.
Economic risks are currently primarily coming from the global economy and Europe, and export-oriented large enterprises would feel these firstly and most strongly.

The current good mood, as the KfW-ifo SME barometer finds, is based on a broad foundation. Besides the large retailers, which are experiencing volatility due to the mood, across all sectors the climate has improved. The increases are particularly strong in the manufacturing industry, wholesale trade and construction, which are key to economic growth. The SME business climate in the building industry climbed to 32.5 balance points, thereby reaching a new all-time high that even exceeded the very good mood at the time of the construction boom after reunification.

A detailed analysis with data tables and charts on the current KfW-ifo SME barometer are available under www.kfw.de/mittelstandsbarometer.

Contact:
KfW,
Palmengartenstr. 5 - 9, 60325 Frankfurt
Kommunikation (KOM) Christine Volk
Tel. +49 (0)69 7431 3867, Fax: +49 (0)69 7431 3266,
E-Mail: Christine.Volk@kfw.de, Internet: www.kfw.de

Christine Volk | presseportal
Further information:
http://www.kfw.de

Further reports about: German language KfW-ifo Optimism SME business climate

More articles from Business and Finance:

nachricht Frugal Innovations: when less is more
19.04.2017 | Fraunhofer-Institut für Arbeitswirtschaft und Organisation IAO

nachricht Europe's microtechnology industry is attuned to growth
10.03.2017 | IVAM Fachverband für Mikrotechnik

All articles from Business and Finance >>>

The most recent press releases about innovation >>>

Die letzten 5 Focus-News des innovations-reports im Überblick:

Im Focus: Making lightweight construction suitable for series production

More and more automobile companies are focusing on body parts made of carbon fiber reinforced plastics (CFRP). However, manufacturing and repair costs must be further reduced in order to make CFRP more economical in use. Together with the Volkswagen AG and five other partners in the project HolQueSt 3D, the Laser Zentrum Hannover e.V. (LZH) has developed laser processes for the automatic trimming, drilling and repair of three-dimensional components.

Automated manufacturing processes are the basis for ultimately establishing the series production of CFRP components. In the project HolQueSt 3D, the LZH has...

Im Focus: Wonder material? Novel nanotube structure strengthens thin films for flexible electronics

Reflecting the structure of composites found in nature and the ancient world, researchers at the University of Illinois at Urbana-Champaign have synthesized thin carbon nanotube (CNT) textiles that exhibit both high electrical conductivity and a level of toughness that is about fifty times higher than copper films, currently used in electronics.

"The structural robustness of thin metal films has significant importance for the reliable operation of smart skin and flexible electronics including...

Im Focus: Deep inside Galaxy M87

The nearby, giant radio galaxy M87 hosts a supermassive black hole (BH) and is well-known for its bright jet dominating the spectrum over ten orders of magnitude in frequency. Due to its proximity, jet prominence, and the large black hole mass, M87 is the best laboratory for investigating the formation, acceleration, and collimation of relativistic jets. A research team led by Silke Britzen from the Max Planck Institute for Radio Astronomy in Bonn, Germany, has found strong indication for turbulent processes connecting the accretion disk and the jet of that galaxy providing insights into the longstanding problem of the origin of astrophysical jets.

Supermassive black holes form some of the most enigmatic phenomena in astrophysics. Their enormous energy output is supposed to be generated by the...

Im Focus: A Quantum Low Pass for Photons

Physicists in Garching observe novel quantum effect that limits the number of emitted photons.

The probability to find a certain number of photons inside a laser pulse usually corresponds to a classical distribution of independent events, the so-called...

Im Focus: Microprocessors based on a layer of just three atoms

Microprocessors based on atomically thin materials hold the promise of the evolution of traditional processors as well as new applications in the field of flexible electronics. Now, a TU Wien research team led by Thomas Müller has made a breakthrough in this field as part of an ongoing research project.

Two-dimensional materials, or 2D materials for short, are extremely versatile, although – or often more precisely because – they are made up of just one or a...

All Focus news of the innovation-report >>>

Anzeige

Anzeige

Event News

Fighting drug resistant tuberculosis – InfectoGnostics meets MYCO-NET² partners in Peru

28.04.2017 | Event News

Expert meeting “Health Business Connect” will connect international medical technology companies

20.04.2017 | Event News

Wenn der Computer das Gehirn austrickst

18.04.2017 | Event News

 
Latest News

Wireless power can drive tiny electronic devices in the GI tract

28.04.2017 | Medical Engineering

Ice cave in Transylvania yields window into region's past

28.04.2017 | Earth Sciences

Nose2Brain – Better Therapy for Multiple Sclerosis

28.04.2017 | Life Sciences

VideoLinks
B2B-VideoLinks
More VideoLinks >>>