World Economics

Sales Managers June Survey Shows Confidence is Slowly Returning

• The Headline Sales Index remains just under the 40 level, suggesting economic activity is still declining.
• The Sales Growth Index however is closing rapidly on the 50 level that separates from contraction, and is far above the April low.
• The Job market remains in the doldrums, but this is to be expected at this stage in the economic cycle.
• Overall, the Mongolian economy is still suffering badly from the Covid-19 virus, but recovery is clearly on the way.

The Mongolian economy has been hard hit by the Covid-19 virus via the abrupt shutdown of the Chinese economy. However with China now opening up its economy, and many factories once more able to produce at near full volume (although many foreign markets remain far below previous levels of demand) the Mongolian economy is following suit and responding positively. There is a way to go before the trend lines indicate renewed growth, but all indexes suggest the economy is continuing to move in a positive direction.

Mongolia: Headline Sales Managers Index (SMI excl. prices)

The Business Confidence Index measures the level of optimism/pessimism among sales for future conditions.

Access Mongolia SMI Charts & Data