The spring 2005 estimates by manufacturers show that they expect in to invest 20 percent more this year than in 2004. The expected value of capital goods to become operational this year was higher than six months ago, when manufacturers expected to spent 5 percent more on investment than in 2004.
Companies in all sectors of manufacturing expect investment spending to recover. Manufacturers in metal and electrical engineering are especially positive in this respect.
Manufactures were cautious this spring with respect to forecasts of investment plans for 2006. They expect the value of capital goods becoming operational in 2006 to be 17 percent lower than in 2005. It is quite usual in the spring estimates for companies to be cautious in their expectations for the next calendar year.
Investments by manufacturing companies 1)
1) 1995 up to 2004 realisations, 2005 and 2006 based on manufacturing companies’ expectations