Business sentiment improved in April as the nation lifted most social distancing measures with declining COVID-19 cases.

According to the Bank of Korea on Thursday, the business survey index(BSI) for all industries stood at 86 for April, up three from the previous month.

It marks the first rise after drops for three straight months.

A reading below 100 indicates that pessimists outnumber optimists.

The central bank attributed the improved BSI to the decrease in COVID-19 cases, the removal of most pandemic restrictions, the recovery in domestic consumption and solid exports.

The BSI for manufacturers gained three points on-month to 87 in April.

In particular, the BSI for non-manufacturers, which includes restaurants, wholesalers and retail businesses, rose four points on-month to 85. The rise of four points marks the largest gain since October 2021 and the index marks the highest in eleven years since April 2011, when it posted 85.

Meanwhile, local firms' business outlook for May rose three points on-month to 86.