The economic climate deteriorated in October, with the relevant index standing at 107.0 points, after the significant rise from 110.2 points in the previous month. According to IOBE, only the industry sector experienced a weakening, while the other three sectors and the consumer confidence index both improved.

The intensifying geopolitical turmoil, which could have a strongly negative impact on global trade and international capital markets, seems to be affecting the outward-looking part of domestic industry and causing uncertainties, despite the generally positive performance of product exports so far.

On the other hand, tourism, despite a slight downturn this year, also contributed positively in October in several sectors. Recovery Fund projects also continue to have a multiplier effect on the economy, while construction is also buoyant and has a high backlog, with many more months of activity secured.

Inflation persists at relatively higher levels, resulting in continued pressure on households and low consumer confidence, despite a slight easing of pessimism this month. These general trends are expected to persist over the medium term, but developments in the international environment may also have a catalytic effect on domestic expectations in the near term.