- CNTV English - CCTV News

Homepage > News > Biz >

S.Korea's business sentiment drops in July

07-30-2012 10:35 BJT

SEOUL, July 30 (Xinhua) -- South Korea's business sentiment dropped this month due to economic uncertainties stemming from Europe's debt crisis, a report by the central bank showed Monday.

The monthly business survey index (BSI), which gauges local manufacturers' assessment of current business conditions, tumbled 11 points on-month to 71 in July, keeping its downward trend for the third straight month, according to the Bank of Korea (BOK). The seasonally-adjusted figure plunged 10 points to 68 over the same period.

The BSI for August, measuring manufacturers' outlook on business conditions for the upcoming month, dropped 11 points on- month to 70, posting the third straight month of decline. The reading adjusted with seasonal factors plummeted 12 points to 69.

The worsening sentiment over economic conditions came as concerns remained over the European fiscal crisis. Spain's government bond yield continued to surge to a new record high recently, fueling expectations that the country may have to seek a full-scale bailout.

Local manufacturers listed uncertain economic conditions, weak domestic demand and weak exports as major difficulties in doing business.

The monthly index for non-manufacturers declined 8 points on- month to 67 in July, and the index for August retreated 7 points to 69. Non-manufacturers picked economic uncertainties, fragile domestic demand and fierce competition as their hardship.

The BSI index is based on a nationwide survey of 1,430 manufacturers and 1,016 non-manufacturers, conducted between July 16 and 23.

Meanwhile, the central bank started compiling the economic sentiment index (ESI) from June in a bid to offer comprehensive sentiment of the private sector, including consumers and businesses.

The ESI, which reflects both the consumer sentiment index (CSI) and the BSI, was down 4 points on-month to 92 in July, according to the BOK.

The reading below 100 means the private sector's sentiment over the current economic conditions is weaker than the long-term average sentiment in the past.

Editor:James |Source: Xinhua

Hot Videos view more

The celebrations are still continuing as the victorious coach, Joachim Loew, has been honored for his achievement in his hometown of Freiburg.
Germany coach Loew honored in hometown of Freiburg

Chinese men´s national team continued its preparations for next year´s Asian Cup, as they managed a one-all draw against visitors Jordan during a football friendly in Harbin, the capital city of Northeast China´s Heilongjiang Province.
China held to 1-1 draw by Jordan

The defending world champs came into the contest with a perfect 6-and-oh record, but they would be in for a tough first half before opening things up in the second.
USA beat Slovenia 119-76 in quarter-finals

Hot Stories more

UK authorities believe killer of James Foley is a British national

Across the UK the hunt is on for James Foley’s killer, who authorities believe is a British national. As Richard Bestic reports from London, Prime Minister David Cameron cut short his summer break to lead his government’s response.

Israeli war jets renews Gaza strike as truce talks stalled

Three Palestinians were killed and 40 others wounded in the intensive Israeli war jets´ airstrikes on the Gaza city on Tuesday night, shortly before an end of a 24-hour ceasefire in the Gaza Strip,

Missouri police arrest dozens after violent night

As the protests in the town of Ferguson, Missouri turned violent with police facing ´heavy gunfire´ from some ´criminal elements´, cops fired tear gas, stun grenades and arrested 31 demonstrators on Monday night.

Picture in news more

More Video News

Choose TV Program