CONCERNS SHIFT TO POLITICS

There is a discernible pivot in business circles towards political instability

There’s been a drastic shift in the foremost burning issue for business. As predicted for several months, political instability has taken centre stage in June with discussions about the upcoming election becoming increasingly prevalent.

Forty-one percent of surveyed executives now consider political instability to be the most pressing issue – that’s up from 30 percent in May when it was ranked fourth.

In the latest LMD-PEPPERCUBE Business Confidence Index (BCI) survey, political interference grew in significance with 35 percent of respondents viewing it as a concern, compared to 34 percent in May.

According to the exclusive survey conducted in the first week of June, high taxes are in third place on the list of worries with 31 percent of the sample population expressing concern about the tax regime.

Inflation, which was a top concern for several months, fell to fourth place with more than a quarter (26%) citing it as an issue. And financial instability among businesses and consumers emerged as a new concern at No. 5 with 19 percent expressing apprehension.

On a national scale, the economy continues to be the prime concern for 71 percent of respondents, which reflects an increase of four percentage points from May.

As the election season approaches, businesspeople’s worries about the political culture have surpassed their concern over the cost of living. This concern saw a one point decrease to 58 percent.

Unease about the cost of living (cited by 38% in May) rose by seven points to 45 percent in June. In contrast, concerns about bribery and corruption dropped by nine points and now ranks fourth (17%).

– LMD