The Industry Confidence Index, measured by the Getulio Vargas Foundation (FGV), grew 8.9 points from July to August. This was the fourth consecutive increase, showing a trajectory of consistent recovery in the confidence of the Brazilian industrial entrepreneurs after the fall observed at the beginning of the covid-19 pandemic, in March.

With the result, the indicator reached 98.7 points, on a scale from zero to 200 points, and recovered 93.8% of the 43.2 points lost in March and April.

“Although they are still dissatisfied with the level of demand, the opinion of businessmen on the situation of business at the moment has been increasingly approaching the pre-pandemic period. For the coming months, the expectation indicators show some optimism, with more than 40% of the sector predicting an increase in the production pace. However, we note that there is still a lot of uncertainty for companies, as evidenced by the difficulty in recovering the business trend indicator, ”explained FGV economist Renata de Mello Franco.

High confidence 

In August, 18 of the 19 industrial segments surveyed had increased confidence. The Current Situation Index, which measures satisfaction with the present moment, rose 8.7 points, reaching 97.8 points.

The Expectations Index, which measures confidence in the future, grew 9.1 points to 99.6.

The Installed Capacity Utilization Level increased by 3 percentage points and reached 75.3%. With this result, the level is at the same level as in March, and only 0.9 percentage point below February (76.2%).