In its latest Business and Consumer survey, the Foundation for Economic & Industrial Research (IOVE) documented an improvement of the financial climate in Greece, with the Economic Sentiment Indicator increasing from 83.1 in September to 86.5 in October.
Although the improvement is important, it is still far lower than what it was last year (102.3) and before the introduction of capital controls. The report indicates that there is an improvement in almost all sectors, aside from services. An improvement is also documented in consumer confidence.
Overall, the report indicates that the both businesses and consumers are gradually integrating the presence of capital controls in everyday life and transactions, as well as adapting to the new bailout agreement and program. IOVE also notes that although taxpayers are to a great extent paying their taxes, which are higher than before, the real effect will be felt over the next few months.
