Economic sentiment continues to deteriorate – Survey

Sentiment surrounding the economy continued to trend downward in June as only 3% of respondents to the latest LMD-NielsenIQ Business Confidence Index (BCI) survey say that conditions will improve in the next 12 months. This marks a decline from 11% in the previous month.

Additionally, half of the businesspeople consulted by NielsenIQ say the economy will ‘stay the same’ compared to 32% in the previous month. Another 47% of respondents are of the opinion that conditions will deteriorate further in the coming 12 months.

As for business prospects, the outlook for the long terms has improved with 62% of the survey sample anticipating an increase in sales volumes over the next 12 months – up from 47% in the preceding month.

In contrast, 9% (versus 12% in May) of respondents say that sales will decline during this period. Meanwhile, 13% of those consulted by the pollsters believe that sales volumes will increase in the next three months while 29% expect a decline.

When it comes to the investment climate, a mere 3% (down from 16% in the previous month) of survey participants view the outlook in a positive light. On the other hand, the vast majority (93%) consider conditions to be ‘poor’ or worse while four percent describe the investment climate as being ‘fair.’

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

Its Cover Story features the 40 Best Workplaces in Sri Lanka, based on an annual study conducted by Great Place To Work (for the full story, log onto www.LMD.lk).