Slovakia Business Morale Recovers in July

The industrial confidence indicator in Slovakia rose by 8.7 points to 2.0 in July 2026, rebounding from a seven-month low of -6.7 in the previous month. The improvement was mainly driven by higher expected production (32 vs 17 in June), particularly in the manufacture of wood and paper products, electrical equipment, motor vehicles, trailers, semi-trailers, and other transport equipment. It was also supported by lower finished goods inventories (12 vs 25), mainly in the manufacture of computer, electronic and optical products. Additionally, the employment outlook continued to improve (7 vs 2). Meanwhile, the current level of orders declined further (-14 vs -12), along with export order levels (-16 vs -15), while assessments of current industrial production eased (16 vs 28). Selling price expectations moderated slightly (10 vs 13).

The industrial confidence indicator in Slovakia fell by 7.3 points month-on-month to -6.7 in June 2026 from 0.7 in the previous month, marking the lowest reading since November 2025. The deterioration reflected weaker assessments of expected production for the next three months (17 vs 26), particularly in wood and paper products and transport equipment. At the same time, evaluations of overall order books deteriorated further (-12 vs -8), while finished goods inventories increased (25 vs 16). Sentiment toward the current level of export order books also became more pessimistic (-15 vs -12). Meanwhile, assessment of current industrial production improved significantly (28 vs 2 in May), and the employment outlook turned positive (2 vs -1).

The industrial confidence indicator in Slovakia fell by 1.6 points month-on-month to 0.7 in May 2026, following a four-month high of 2.3 in the previous month. Expectations for future production weakened (26 vs 31 in April), primarily in the manufacture of basic pharmaceutical products. Views on stocks of finished products also eased (16 vs 22). At the same time, assessments of current order levels continued to deteriorate (-8 vs -2), reflecting weaker anticipated output in the production of coke and refined petroleum products, as well as the manufacture of other non-metallic products and machinery and equipment n.e.c. Meanwhile, assessments of current industrial production turned positive (2 vs -2), while the employment outlook improved slightly (-1 vs -6). Sentiment toward the current level of export orders remained unchanged at -14.