The Q3 2009 results show improvements in all the key national balances, for both manufacturing and services. The results support the view that the decline in activity is ending. But the economy is still frail, and a sustainable recovery cannot be guaranteed. Some key balances - home, employment, investment in plant and machinery, and cashflow - are still negative in both sectors.

Manufacturing employment expectations remain negative. On the positive side, the confidence balances have strengthened in both sectors, with manufacturing confidence registering a very strong improvement. In the service sector, the export balances and the employment expectations balance are now positive. Overall, the Q3 results are encouraging. But the economy faces serious risks, and time-limited corrective measures are still needed.