Zim business confidence down

HARARE - Business confidence in Zimbabwe was at an all-time low in the third quarter as a result of political uncertainty, poor economic performance, policy confusion and a general lack of leadership, a Confederation of Zimbabwe Industries latest survey shows.

The composite business confidence index for the third quarter of 2017 stood at -29,6 for quarter-on-quarter and -9,9 for year-on-year.

CZI president Sifelani Jabangwe said this indicates lack of confidence and pessimism of business leaders regarding the economic situation.

“The Situation Diffusion Index (SDI) was -37,5 for quarter-on-quarter comparison and -45,5 for year-on-year comparison, indicating that respondents feel that the current situation is worse off compared to the previous quarter and also compared to same quarter of 2016,” he said.

Jabangwe was, however, quick to point out that the economic outlook by the manufacturing sector has changed as a result of the new political dispensation that saw President Emmerson Mnangagwa replacing Robert Mugabe who had been in power for the past 37 years.

“Expectations for the third quarter in 2018 are that business conditions would have improved thereby creating an expectation of better business and economic performance in the private sector in 2018,” he said, adding that this expectation is largely driven by the hope that new economic policies expounded by Mnangagwa would have taken full effect next year.

Since his inauguration in November, Mnangagwa has made key choices to attract foreign direct investment, including the revision of the Indigenisation Act and also made commitments to service foreign debt and reform the civil service and dispose non-performing parastatals among other things.

To ensure that these policies are fully implemented, business has requested to have frequent high level meetings with the president and his Finance minister Patrick Chinamasa.

“Business is keen to see the immediate implementation of the stated policy reforms and execution of interventions highlighted as priorities for them to drive the growth and recovery of the economy,” Jabangwe said.

“Any delay in bringing these into effect will delay the intended recovery of the economy and place a dent on the confidence that is already building up in industry with regards the new dispensation,” he added.


 

Comments (2)

Worst of time to invest confidence in zanu The party is just useless with no direction .

SIBONGILE - 20 December 2017

comrades now that I am no longer on course to go to South Africa maybe we could be of service to one another. Being I am direct descendant to Mansa Kankan Musa plus hold his ability of greatest " hunt would would" interrogation ability known to humans. I am in great demand plus tourist will go wherever I set up shop but, I have vowed to set up shops in Africa unto time to be determined later. I owe favor in Nigeria plus have pledge shop in Mali plus Chad perhaps Zimbabwe is interested. I have been repeatedly told by tourist throughout world that when I do open shop I should expect tens of millions if hundreds to visit annually to lease by "hunt would would " spiritual covers. Is Zimbabwe interest in joint venture of this nature? Very much sincere, Henry Author (People of Books) Price Jr. aka Obediah Buntu IL-Khan aka Kankan aka Gue. henryprice259@gmail.com

Henry Author Price Jr. - 20 December 2017

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