SEB’s Entrepreneur Index, which shows entrepreneurs’ view of business over the next three months, was unchanged this month and remains at plus 7 units. In the poll, two of the three economic indicators rose, one of which is now positive. Working hours increase from minus 4 to plus 1, sales volume increases from minus 8 to minus 4, while liquidity decreases from minus 2 to minus 5. This is what the business index for October shows.
Entrepreneur Index
The percentage of entrepreneurs who believe that a positive business development will occur during the next three-month period did not change at 26 percent. The percentage of entrepreneurs who believe that a negative development will occur remained at the same level as the previous month, 19 percent. On the other hand, the percentage of those who believe in development without change increased from 52 percent to 53 percent. The Entrepreneurship Index is the difference between the percentage that believes in a positive development and the percentage that believes in a negative development. The indicator in this measurement is at 7 units, which is the same level as last month.
The economic outlook is bleak ahead of the winter months, but despite this, entrepreneurs are resilient and maintaining their relatively positive expectations. The last interest rate announcement from the Riksbank came during the measurement period and therefore did not have full impact. On the other hand, it would not be surprising if interest rate increases had only a limited impact on the self-employed, who have historically proven to be able to withstand higher interest rates well, says SEB’s private economist. Americo Fernandez.
More economic indicators
When asked about how three financial indicators (business volume, liquidity, and working hours) developed during the past month compared to the previous month, two out of three indicators increased. They are also measured as balance metrics, i.e. the ratio indicating an increase minus the ratio indicating a decrease. Labor time increases from minus 4 to plus 1, while turnover increases from minus 8 to minus 4. Liquidity decreases from minus 2 to minus 5.
Working hours tend to increase during the fall, and this month is no exception, but trading volume and liquidity decline somewhat and remain at negative levels. This may reflect the unchanged outlook and that the economy is now entering a calmer pace, says Americo Fernandez.
Entrepreneurship Index – Development during the last twelve months:
| October 23 | September 23 | August 23 | July 23 | June 23 | May 23 | April 23 | Mar-23 | February 23 | January 23 | December 22 | November 22 |
| 7 | 7 | 8 | 9 | 5 | 9 | 0 | 4 | 0 | -7 | -2 | -1 |
Every month Demoskop conducts the Entrepreneur Indicator Survey on behalf of SEB. This survey is based on nearly 600 online interviews about sole proprietors’ views on business size, liquidity, operating hours and future expectations. The survey was conducted during the period 15-25 September.
For more information please contact:
Americo Fernandez, SEB Special Economist
070-739 4564
[email protected]
Niklas Magnusson, press director
070-763 8243
[email protected]
SEB is a leading financial group in Northern Europe with an international reach. Our goal is to positively shape the future through responsible advice and capital, today and for generations to come. By collaborating with our customers, we want to be a leading catalyst in the transition to a more sustainable world. In Sweden and the Baltic countries, we offer a wide range of financial services and advice. In Denmark, Finland, Norway, Germany and Great Britain, we focus on corporate business and investment banking based on a full-service corporate and institutional concept. Our international character is reflected by our presence in more than 20 countries around the world with approximately 17,500 employees. As at 30 June 2023, the Group had total assets of SEK 4,172 billion and capital under management of SEK 2,271 billion. Read more about SEB at sebgroup.com/sv.
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