Economic sentiment continues to wane – Survey

Saturday, 16 January 2021 00:55 - - {{hitsCtrl.values.hits}}

Economic sentiment continues to shrink with 44% (versus 29% in the previous month) of respondents to the latest LMD-Nielsen Business Confidence Index (BCI) survey saying conditions will remain the same in the next 12 months.

In the December survey, a mere 19% said the economy ‘will improve’ (down from 23% in November) while 37% of those consulted by the pollsters expect conditions to deteriorate during this period.

As for business prospects, the outlook for both the long and short terms appears to have deteriorated. Only 47% (compared to 58% in the preceding month) of poll participants anticipate an improvement in sales volumes in the coming 12 months while nearly four in 10 respondents say they are likely to remain the same.

Meanwhile, 62% of corporate executives expect sales volumes to ‘stay the same’ in the next three months.

The investment climate is viewed in a negative light by the majority as 53% of businesspeople describe conditions as ‘poor’ or worse. On the other hand, a mere 7% consider the prevailing investment climate to be favourable while the remainder say it is ‘fair.’

Media Services, which publishes LMD, says the January edition of the magazine has been released. Its digital edition is also available on WhatsApp and the publisher’s social media platforms.

Economic...

Its Cover Story pays tribute to 100 ‘Captains of Business’ from among Sri Lanka’s corporate and professional communities in LMD’s 2020 A LIST. It also features 25 ‘Millennial Torchbearers’ who are poised to feature among the captains of business in the future (for the full story, log onto www.LMD.lk).