29.04.2011 - The Economic Sentiment Indicator (ESI) for the EU and the euro area declined in April, but remains well above its long-term average.
The Economic Sentiment Indicator (ESI) for the EU and the euro area declined in April, but remains well above its long-term average. It fell significantly by 2.3 points to 105.1 in the EU and more moderately by 1.1 points to 106.2 in the euro area, marking the second decline in a row in that region. In both regions, the fall in the ESI stemmed from a decline in confidence in all sectors except construction, where sentiment improved from low level on the back of more favourable weather conditions. The more negative readings of the ESI in the EU reflect a sharp drop in the UK, especially in the services and retail sectors.
Most Member States recorded a drop in sentiment. Among the seven largest Members States, confidence in the UK fell the most (-5.1), followed by the Netherlands (-2.0), and Poland (-1.3). The confidence indicator fell less significantly in Italy (-1.0), Germany (-0.9), Spain (-0.9) and France (-0.8). The ESI remains firmly above its long term average only in Germany, France and the Netherlands.