S. Korea's business sentiment improves in May

SEOUL, May 28 (Xinhua) -- Sentiment among South Korean businesses over the economic situation improved for three consecutive months due to the delayed U.S. tariffs imposition, central bank data showed Wednesday.

The composite business sentiment index (CBSI) in all industries increased 2.8 points over the month to 90.7 in May, after rising 1.4 points in March and 1.2 points in April, according to the Bank of Korea (BOK).

The CBSI among manufacturers gained 1.6 points to 94.7 in May, compared to the previous month, on the back of the suspended U.S. protectionist moves.

The index for non-manufacturers advanced 3.6 points to 88.1 thanks to higher freight volume and recovery in the housing market.

The CBSI, however, kept hovering below the long-term average of 100 amid lingering economic uncertainties.

The result was based on a survey of 1,852 manufacturers and 1,445 non-manufacturers conducted between May 13 and 20.

Manufacturers selected faltering domestic demand, economic uncertainty and an export slump as key barriers to doing business, while non-manufacturers picked lower consumer spending, an uncertain economic situation and higher labor costs.

The economic sentiment index (ESI), which reflects sentiment among both businesses and consumers, stood at 92.2 in May, up 4.7 points from a month earlier. Enditem