The business sentiment of South Korean firms slightly worsened in July.

According to the Bank of Korea on Tuesday, the business sentiment index(BSI) for all industries came to 73 this month, down one point from a month earlier. 

 A reading below 100 means pessimists outnumber optimists. 

South Korean manufacturers' sentiment decreased two points to 73 this month, while the BSI for non-manufacturing sectors also slipped two points to 72. 

Local companies' outlook for all industries for next month was 71, a four point drop from the previous month.