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August 14, 2018

Sanguinity sustains

CriSidEx survey of business sentiment among micro and small enterprises in April-June and July-September

Sanguinity sustains for July-September


Micro and small enterprises (MSEs) have expressed optimism about their business environment in July-September, 2018, the third straight quarter they have done so, vindicating our forecast.


The score for CriSidEx, the only lead-lag indicator of business sentiment among MSEs across India, printed at 127 for the April-June, 2018 survey quarter, well above the 121 seen in January-March, 2018 and 107 in October-December, 2017.


  • Business sentiment in the April-June 2018 quarter

    Sectors that saw a positive trend

    The services sector continued to display high growth momentum. Within this, segments such as information technology (IT) & information technology-enabled services (ITeS), traders, logistics, construction & real estate, travel & hotels and professional services reported improvement in business sentiment.

    Respondents from the manufacturing sector said they were on a better footing than in January-March. MSEs in metals & mining, chemicals, pharmaceuticals, and gems & jewellery were strongly positive. The leather & leather goods sector was largely positive barring a few respondents who reported a subdued outing.

    Sectors that saw a subdued trend

    Only respondents from the media and power & utilities sectors said they had a subdued run.

  • Business sentiment for the July-September, 2018 quarter

    60% of the respondents from the manufacturing sector and 53% from the services sector foresee a continuation of the positive momentum.

    Sectors anticipating a positive trend

    In the services sector, respondents from IT/ITeS, logistics, traders professional services, healthcare, human resources services, and construction & real estate were the most optimistic.

    In manufacturing, respondents from auto components, pharmaceuticals, metals & mining, chemicals, leather & leather goods, and gems & jewellery were the most optimistic

    Sectors foreseeing a subdued trend:

    The media sector had the highest share of respondents anticipating a subdued quarter.

  • Companies more optimistic than firms

    Classifying by legal constitution, companies were marginally more optimistic, with 46% reporting a good survey quarter compared with 44% of firms.