Expectations for the Croatian economy improved in November, driven by the optimism of business leaders in the services sector. Economic sentiment also improved in the EU and the euro zone, state news platform Hina reported on Tuesday, citing a European Commission survey.

In Croatia the Economic Sentiment Indicator (ESI) was 106.7 points in November, up from 105.6 points in October. It increased the most in the services sector, by 6.9 points, slightly less than in October when it had jumped by 11.1 points month-on-month.

The survey showed a continued improvement in ratings given by Croatian business leaders over the last three months, and optimistic forecasts for the upcoming holiday season. Retail trade confidence remained unchanged since October, while industry confidence deteriorated by 2.2 points. The Employment Expectations Indicator rose by 0.8 points from October to 110.9 points in November, while the Economic Uncertainty Indicator increased by 2.6 points to 6.9 points.

The ESI increased for the first time since February in both the EU (up by 1.0 point to 92.2 points) and the euro zone (up by 1.0 point to 93.7 points). The increase was driven by a rebound in consumer confidence, which increased by 3.6 points in the EU and by 2.8 points in the euro zone. Retail trade confidence remained flat in both the EU and the euro zone.

Industry confidence declined by 0.7 points in the EU and by 0.8 points in the euro zone. The Employment Expectations Indicator increased by 1.4 points to 106.3 in the EU and by 2.0 points to 107.4 in the euro zone, while the Economic Uncertainty Indicator declined by 2.0 points in the EU and by 2.3 points in the euro zone.

Among the EU’s leading economies, the ESI increased the most in Italy, by 4.1 points, while in Germany it rose by 1.1 points. Spain and France posted ESI declines of 1.7 and 1.6 points respectively. Sentiment in Poland stayed broadly flat.