It’s been revealed in a not-so-shocking report that Monaco suffered with a massive downturn in business sentiment in April of this year due to the closure of “non-essential” businesses brought on by the coronavirus epidemic.
According to the latest report from IMSEE, many companies in the Principality saw a drastic slump in the month of April, particularly in the retail and auto repair sectors. The country’s synthetic indicator won three points in March, but the overall business picture remained at a very low level.
A synthetic indicator refers to a numerical measure reflecting the situation of an objective state of affairs. This is comprised of several components that are integrated into a single comprehensive value.
Despite the slight upturn, the general outlook of activity was judged very difficult, though as the times were exceptional, this was not unexpected. Sales hit an all-time low-point and balance sheets were particularly weak, sitting well below long term averages.
Businesses were still ordering supplies and stock in this period, but at a far lower level and prices of goods and services are expected to drop from the past averages in order to stimulate sales.
Employment prospects were also affected, remaining the same as the month before but on the whole lower.
All this gloom and doom is based on figures drawn from an exceptional period where many businesses were completely shuttered and unable to work at all. Prospects for future sales, whilst still uncertain, will certainly be on an upswing now that a semblance of “life as usual” is returning.