(24.12.2025) Global economic activity remained stable in November 2025. Supported mainly by order books, Raiffeisen Bank’s SME PMI rose marginally (+0.1) to 50.3 points, thereby remaining in expansion territory.
The order book sub-index increased to 51.6 points, up 1.6 points from October 2025. This level nevertheless remains clearly below the mid-year readings (54.1 in June and 53.3 in July). Developments in other areas were mixed. Following a modest rebound in October (53 points), output eased back to 50.4 in November. The inventories sub-component rose by 1.4 points to 46, but continues to lie well below the growth threshold of 50.
Employment also edged up slightly (+1.1 points to 49.4), but remained in contraction territory, suggesting that labor market conditions continued to tighten in the fourth quarter of 2025. Except for the pharmaceutical sector, where employment continues to expand, all other industrial sectors recorded declines, ranging from vehicle manufacturing (-4.9%) and textiles and apparel (-3.0%) to precision engineering and watchmaking (-2.7%), as well as machinery, electrical equipment and metals (-2.1%).
Businesses do not expect a rapid recovery, even considering the anticipated reduction in U.S. tariff rates from 39% to 15%. Beyond the trade barriers imposed by Washington, global economic conditions remain subdued, while demand from the euro area and China continues to show limited momentum. According to Raiffeisen Bank analysts, a reversal of this trend is unlikely in the short to medium term.
Last modification 24.12.2025
