NEW CONCERN ON THE RADAR

Financial instability appears on the radar of businesspeople for the first time

The tide has turned with financial instability now dominating the landscape of business concerns, leaving the corporate community – perhaps centred on the beleaguered SME sector – grappling with heightened uncertainty.

High taxes, which was a major concern for many months, has receded in relative importance on the scale of burning issues – perhaps against a backdrop of expectations of budget relief in the near term.

Forty-four percent of executives cite financial instability as their primary concern, reflecting a notable 17 point increase from December (27%).

In the latest LMD-PEPPERCUBE Business Confidence Index (BCI) survey, high taxes is the second most pressing issue with over a third (35%) of respondents identifying it as such – that’s a six percentage point drop from the previous month (41%).

According to the exclusive survey conducted in the first week of January, high utility bills rank third with 33 percent of survey participants citing it as a concern – from 32 percent in December.

Inflation, a persistent challenge over the past several months, takes fourth place with a quarter (25%) of respondents identifying it as a cause for concern. And political interference emerges as the fifth most significant issue, cited by around two in 10 (21%) of the sample population.

On a national scale, a massive majority (75%) of participants continue to identify the economy as their primary concern, marking a marginal increase of two percentage points from the month prior.

Anxiety about the cost of living persists, though it has declined from 58 percent in December to 54 percent in January. Meanwhile, bribery and corruption re-enters the top five, surging from a mere three percent in December to a disconcerting 20 percent.

And finally, the political culture continues to remain a national issue, ranking fourth and tied with poverty – both highlighted by 16 percent of respondents.

– LMD