20.07.2011

Q1 2011 economic activity indicator (EAI) continued on the path of cyclical improvement, being positive for a third quarter in a row. EAI increase was strongly sustained by the favourable external developments. The pick up in foreign demand has enhanced industrial orders and those for exports in particular, thus encouraging enterprises to increase capacity utilization and production.

The increasing price of Brent, accompanied by higher import volume, coming from third countries pushed up VAT revenues. The latter is an important indicator of the ongoing economic activity revival.

The still weak domestic demand, however, subdued EAI improvement, as retail trade and construction developments had feeble and even negative influence on EAI dynamics.