Business Canterbury’s latest quarterly survey indicates that businesses are increasingly confident in their ability to manage disruptions.
Confidence in businesses’ ability to manage disruption has experienced its largest increase since tracking began in July 2022. The latest survey reveals that 80% of businesses now report feeling confident in handling disruptions, a major improvement over previous periods.
“Canterbury businesses have weathered a lot in recent years, and that experience has built a remarkable capacity for adaptation and forward planning, which will help respond to the current global environment and navigate ongoing change and disruption,” Business Canterbury Chief Executive Leeann Watson said.
Watson said the boost in confidence “reflects a stronger sense of resilience and being able to respond in a way that will set them up for the future. Businesses are still navigating change but doing it with a mindset that has moved from reacting to anticipating.”
The survey also indicates that earning expectations for the next 12 months remain stable at relatively high levels, with 58% reporting feeling optimistic about their financial position.
“However, that’s not to say pressure points have eased. Consumer confidence and demand persist as major obstacles. They are proving to be particularly stubborn, with more than half of respondents identifying them as key concerns—a 17% increase in the proportion of respondents citing them as a top issue compared to last quarter,” Watson noted.
“Although the recent 50-basis-point OCR cut is a welcome move that could help ease these pressures, its full impact will take time to filter through.”
Despite rising business confidence, productivity and growth limitations, alongside inflation and interest rates, continue to be major concerns. Overcoming these persistent challenges is crucial to revitalising the economy, a process that is proving to be slower than initially hoped.