October 2012 was the thirtieth occasion of the IEER business climate survey which is based on the cumulative response of more than 14,000 companies conducted in April and October of each year with the participation of regional chambers. It is the largest and most extensive business climate survey in Hungary. The research is part of the 14 million enterprise-wide Eurochambres survey of the European economy. In October this year 3,182 firms filled out our questionnaire -- our study is based on the responses of these companies.

The results inform us of the worsening business prospects and expectations surrounding a high level of uncertainty felt by Hungarian companies. Based on the expectations of firms, stagnation and a worsening business climate are expected in late 2012 and early 2013 for the Hungarian economy. Although the IEER Business Climate Index remained in the positive territory, the value declined from +8.7 points in April to +1.9 points. The IEER Uncertainty Index has not changed significantly since April, and is still at a high level. The economic crisis has strongly affected all sectors, with the construction industry in particular still reeling from the impact of the economic crisis. This sector has so far not shown any signs of recovery.