Economic sentiment continues to decline: Survey

Monday, 10 June 2019 01:07 - - {{hitsCtrl.values.hits}}

The latest LMD-Nielsen Business Confidence (BCI) poll reveals that more than two-thirds of respondents consulted by Nielsen, for LMD’s publisher Media Services, expect the economy to worsen over the next 12 months.

“The economy and the investment climate are obviously in a very poor state due to current developments in the country,” states a survey respondent.

Similarly, another businessperson remarks that “given the current economic situation and now with the country’s reputation also at risk, I don’t think there will be any improvement in the coming months.”

The outlook for business has also dimmed with 50% and 67% expecting sales volumes to decline in the long and short terms respectively. In keeping with this view, a respondent asserts that “business along with the economy is going to get worse because of the failure of the government in ruling the country properly.”

Meanwhile, the investment climate is also being viewed in a negative light as a large majority (85%) of those polled consider it to be a ‘poor’ or worse time to invest.

One executive asks: “With the current situation, how can we expect foreign investments when there is no national security and there’s high uncertainty about the economy?”

Media Services says the June edition of the pioneering magazine has been released to leading supermarkets and bookstores in Colombo and the outstations.

Its Cover Story features an exclusive interview with founding Chairman and Managing Director of Vallibel One group Dhammika Perera, in which he discusses the potential for leveraging AI and technology in Sri Lanka’s drive towards development (for the full story, log onto www.LMD.lk).