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  5. The 164th Survey of SME Business Conditions (April-June 2021) Released

The 164th Survey of SME Business Conditions (April-June 2021) Released

June 30, 2021

The Survey of SME Business Conditions is a quarterly survey conducted by the Organization for Small and Medium Enterprises and Regional Innovation, targeting about 19,000 small and medium enterprises (SMEs) across Japan in cooperation with business management advisors from commercial and industrial associations and chambers of commerce and industry, and researchers from the National Federation of Small Business Associations.
The Small and Medium Enterprise Agency (SMEA) and the above organization jointly compiled the business achievements (diffusion indices, or DIs) of SMEs for the April-June 2021 period and the forecasts (DIs) for the July-September 2021 period concerning SME business conditions, sales amounts, ordinary profits, and other data.

Key point in the survey results

The business conditions DI for SMEs increased for the first time in two quarters.

  1. From April to June 2021, the business conditions DI for all industries was -25.8 (up by 3.7 points from the previous quarter), showing an increase for the first time in two quarters.

  2. The business conditions DI for the manufacturing sector was -17.2 (up by 7.8 points from the previous quarter), showing an increase for four consecutive quarters. Looking at the business conditions DI of each industry, improvements were seen in 12 industries, including wood/wooden products, food products, and metal products, while the DIs for two industries, namely, ceramic, stone, and clay products and chemistry, decreased.

  3. The business conditions DI for the non-manufacturing sector was -28.8 (up by 2.4 points from the previous quarter), showing an increase for the first time in two quarters. Looking at the business conditions DI of each industry, the DIs increased in the wholesale, services, construction, and retail trade industries.

  4. The DI measuring long-term financing difficulty was -5.2 (down by 2.3 points from the previous quarter), showing a decrease for three consecutive quarters, and the DI measuring short-term financing difficulty was -3.5 (down by 1.0 points from the previous quarter), showing a decrease for two consecutive quarters.

Region-based business conditions

  1. The business conditions DI for all industries by region increased in the Kanto, Kinki, Hokkaido, Chubu, Tohoku, Shikoku, Kyushu/Okinawa, and Chugoku regions.

  2. The business conditions DI for the manufacturing sector by region increased in all regions other than Kyushu/Okinawa.

  3. The business conditions DI for the non-manufacturing sector by region increased in the Kanto, Hokkaido, Chubu, Kinki, Kyushu/Okinawa, and Shikoku regions, and decreased in the Chugoku and Tohoku regions.

Division in Charge

Research Office, Business Environment Department, Small and Medium Enterprise Agency