Andorra business confidence edges up in Q3 2025

The Harmonized Business Confidence Index (ICEH) for Andorra rose to 100.95 in the third quarter of 2025, up 1.18% from 99.78 in Q2 and 0.71% compared with the same quarter a year earlier.

Quarter‑on‑quarter gains were uneven across sectors. The largest increases were recorded in recreational and other services (+7.45%), financial and insurance activities (+4.05%) and industry (+3.90%). Looking at broader services as a group, the sector advanced 1.91% in the quarter. Education and health climbed 2.20% and commerce rose 1.72%. By contrast, agriculture suffered the steepest fall, down 22.02% quarter‑on‑quarter, followed by transport and storage (-11.65%). Construction (-1.98%), hospitality (-1.72%) and real estate activities (-1.37%) posted more moderate quarterly declines.

On an annual basis, the ICEH showed a modest improvement. Recreational and other services led year‑on‑year gains (+10.11%), followed by industry (+6.13%). Professional and administrative activities increased by 2.52% year‑on‑year, while real estate (+0.94%) and hospitality (+0.57%) registered smaller rises. The largest yearly decreases were in agriculture (-11.61%), construction (-2.85%), financial and insurance activities (-2.64%), education and health (-2.60%) and transport and storage (-2.04%). Overall, aggregate services rose 1.21% compared with Q3 2024.

Analysts caution that seasonal patterns can heavily influence quarter‑to‑quarter movements in sectors such as commerce, hospitality and transport, so some of the short‑term swings may reflect seasonality rather than structural change. Sectors with lower seasonality, such as industry and professional activities, provide a clearer signal of short‑term shifts in business sentiment.

The figures portray a mixed economic picture: modest overall improvement in business confidence relative to a year earlier, with notable recoveries in several service and industrial areas, while agriculture remains the weakest sector.