The Bank of Korea’s Economic Sentiment Survey shows a sharp drop in corporate sentiment for April: the composite CBSI projection fell to 93.1, down 4.5 points from the previous reading. This decline reflects broad pessimism among firms, even as some export sectors remain resilient.

April CBSI: the numbers at a glance

According to the BOK Economic Sentiment Survey published on 2026-03-27 09:30, the overall April CBSI projection is 93.1, a 4.5-point decline. The manufacturing subindex stands at 95.9, down 3.0 points, while the non-manufacturing subindex fell more sharply to 91.2, a 5.6-point drop. Because these indices sit below the neutral 100 threshold, the survey indicates that pessimistic expectations dominate for the coming month.

What is driving the weaker outlook

The survey materials point to prolonged geopolitical uncertainty in the Middle East as a key factor weighing on firms’ expectations, with companies anticipating continued instability. Respondents cite concerns over raw material costs and wider uncertainty as forces that more than offset strength in certain export categories. In particular, while IT exports are reported to be performing well, that momentum has not been sufficient to overcome pressures from input-price volatility and geopolitical risk.

March performance versus April expectations

The BOK notes that actual business sentiment for March showed a modest deterioration, but the more notable change is the sharp fall in expectations for April. In other words, firms’ near-term experiences worsened slightly, yet their outlook for the next month deteriorated much more steeply—a sign that short-term optimism has been replaced by growing caution.

Implications within BOK data

This drop in the CBSI is highlighted within Bank of Korea data releases and is repeatedly mentioned in related commentary, signaling its importance as a near-term indicator of corporate mood. A reading below 100 suggests firms expect contracting or stagnating conditions, and the relative weakness in the non-manufacturing index indicates services-related concerns may be particularly acute even as manufacturing export strengths persist.

Overall, the April projection paints a cautious picture: despite pockets of export strength, especially in IT, prevailing worries about raw material costs and extended geopolitical uncertainty have pushed corporate expectations decisively below neutral. The BOK Economic Sentiment Survey therefore flags a notable deterioration in business confidence heading into April.