AHK World Business Outlook Spring 2023

• The number of companies assessing the own current business situation as good decreased by 7% to 37%, while now 23 % (+12% compared to six months ago) consider their business situation as bad. Accordingly, the saldo (difference between good and bad) fell from 33 to 14 points. 
• However, the 12-months expectations for the own Korean business show optimism. 44% of the participating companies forecasted growth (+14% compared to six months ago). The number of companies expecting a worsening of their businesses decreased to 12%, which is 18% less than six months ago. Still, the saldo depicts a less bullish forecast than a year ago. 
• The forecast regarding the Korean economic development within the next 12 months remains dark, however by far less bleak than six months ago (saldo of –55). A worsening of the economic environment in Korea is expected by 1/3 of the companies, a bettering by only half as many. The saldo which was at 52 points two years ago stands at -17 points. 
• The German companies’ expectations for their own business development remain much more positive than for the general economy. This shows their confidence regarding their own market position. 
• The intentions to invest more within the next 12 months double from six months ago (now at 30%). However, the number is still below the 32% of the participants who forecast lower or no investment.

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