Economic sentiment improves – Survey

Monday, 8 April 2024 04:36 - - {{hitsCtrl.values.hits}}

Leading business magazine LMD reports that “there’s been a sudden turnaround in economic sentiment although the outlook remains gloomy.”

It continues, “Businesses continue to wrestle with a sense of uncertainty as in the past few months; and this time around too, there’s a sense of unpredictability in the latest findings of the LMD-PEPPER¬CUBE Business Confidence Index (BCI) survey – although the underlying theme is one of a turnaround in economic sentiment.”

LMD notes that in March, 35% of survey participants expressed optimism about the economy ‘improving’ in the next 12 months, which marks a 12-point spike from February’s 23%.

“Seventeen percent of respondents anticipate the economy will ‘stay the same,’ reflecting a slight difference in percentage points compared to the previous month (18%). Notably, however, nearly half (48%) expect the economy to ‘get worse,’ albeit that this represents a decrease of 11% from February’s 59%,” it adds.

As for sales volumes, the magazine notes that “there’s a growing sense of optimism.” Thirty-two percent of survey respondents now expect volumes to ‘get better’ over the next 12 months, which LMD says reflects a five-point rise compared to the previous month.

On the other hand, slightly over a fifth expect their sales numbers to ‘stay the same,’ reflecting a drop from the previous month’s 25%, the magazine reports.

An LMD spokesperson cautions, “But despite these nuances, sentiment remains subdued as half of the poll participants expect sales volumes to ‘get worse’ over the next three months.”

LMD’s publisher, Media Services, says the latest edition of the magazine has been released. And its digital edition has been shared on WhatsApp and the publisher’s social media platforms.

The magazine’s cover story features an exclusive interview with Sri Lanka’s Foreign Secretary Aruni Wijewardane, in which she discusses the nation’s foreign policy initiatives in recent times.