Real Sector Confıdence At Two-Year Low Levels

- Real sector confidence index fell by 1.5 points to 101.2 level in December, the lowests level of the last two years, according to the Business Tendency Survey data released by the Central Bank of Turkey, on Friday.

The Business Tendency Survey intends to produce indicators that will show the short-term tendencies in the manufacturing industry, considering the assessments of the senior managers, about the recent past, current situation and their expectations regarding the future course of business conditions.

When the index is equal to 100, a stable outlook to the economic activity by the real sector agents covered by the Business Tendency Survey. When the index is over 100, it indicates an optimistic outlook to the economic activity by the real sector agents covered by the Business Tendency Survey. When the index falls below 100, a pessimistic outlook to the economic activity by the real sector agents covered by the Business Tendency Survey.

The indexş remained over 100 level throughout 2013, after falling to 97.9 in December 2012, at the pessimistic levels. The index was at 101.4 in January 2014, previous lowest level since December 2012.

"The production volume and total orders in last three months pushed the index upwords, while general course of events, production expected in the following three months, fixed capital investment expenditure, current total orders volume, current goods inventory volume and total employment expected in the following three months had lowering effect" the Central Bank said.