Entrepreneur Confidence Index on the Rise, for Third Consecutive Month

RIO DE JANEIRO, BRAZIL – The Industry Entrepreneur Confidence Index (ICEI) rose again and reached 59.4 points in August. This is the indicator’s third consecutive increase above the historical average of 54.5 points. “Confidence remains high,” notes a survey released on Tuesday, August 20th, by the National Confederation of Industry (CNI).

According to the CNI, the survey indicators range from zero to 100 points. Above fifty points, they show that entrepreneurs are confident. According to the survey, confidence has improved for companies of all sizes. It is above the national average for medium-sized and particularly for large companies.

The ICEI recorded 59.7 points for large companies this month, 59.5 points for medium-sized companies, and 58.8 points in the small companies. The survey also showed that the index is highest in the mining industry, where it reached 62.8 points. In the processing industry it remained at 59,5 points, and construction was at 58,5 points.

“This month’s increased optimism is the result of improved perception of current business conditions and increased optimism over the performance of companies and the economy for the coming six months,” says the CNI.

For CNI economist Marcelo Azevedo, the improved perception of entrepreneurs’ prospects reflects the positive news for the economy. “There is a sequence of good news: the fall in interest rates, the release of the Time of Service Guarantee Fund (FGTS) and the second-round approval of the Social Welfare reform,” he said.

The survey shows that confidence is highest in the Northern Region, where it rose 4.0 points and achieved 61.7 points. In the Northeast, the index was 59.6 points, in the Southeast, 58.5 points, in the South, 54.9 points, and in the Center-West, 59.2 points.

The survey was conducted between August 1st and 13th, with 2,451 companies, of which 945 were small-sized, 917 medium-sized and 589 were large-sized.