S. Korea’s business sentiment improves in October

SEOUL, Oct. 24 (Xinhua) — Sentiment of South Korean businesses over the economic situation improved in four months thanks to the eased monetary policy stance, central bank data showed Thursday.
The composite business sentiment index (CBSI) in all industries added 0.9 points over the month to 92.1 in October, after sliding for the past three months, according to the Bank of Korea (BOK).
The rebound came after the BOK lowered its benchmark interest rate by 25 basis points to 3.25 percent earlier this month.
The index, however, hovered below the long-term average of 100 amid lingering concerns about economic downturn in major economies and the delayed recovery in domestic demand.
The CBSI among manufacturers rose 1.7 points to 92.6 in October compared to the previous month, while the index for non-manufacturers gained 0.3 points to 91.7.
The results were based on a survey of 1,850 manufacturers and 1,454 non-manufacturers conducted between Oct. 8 and 16.
Manufacturers selected faltering domestic demand, economic uncertainties and sluggish export as key barriers to doing business, while non-manufacturers picked domestic demand slump, uncertain economic situations and higher labor costs.
The economic sentiment index, which reflects sentiment among both businesses and consumers, stood at 92.5 in October, down 1.2 points from the previous month. ■