By: Staff Writer
July 21, Colombo (LNW): Leading business magazine LMD reports in its July edition that businesses are navigating both challenges and opportunities amid economic turbulence. The LMD-PEPPERCUBE Business Confidence Index (BCI) poll from June highlights widespread apprehension about the economic landscape.
According to the magazine, 30% of respondents to the monthly poll expressed optimism about the economy improving over the next 12 months, consistent with May’s results.
More than one in four executives (26%) expect the economy to remain the same, also mirroring the previous month. Meanwhile, 44% believe the economy will deteriorate, reflecting sentiments reported in May.
On the sales front, the magazine reports a slight improvement in outlook, with 34% of salespeople anticipating an increase in sales volumes over the next 12 months, marking a three-point rise from May.
Looking ahead to the next three months, nearly a third (32%) of respondents express optimism about improving sales numbers, a five percent increase from the previous month.
However, nearly a quarter expect their sales numbers to stay the same, a 5% decrease from the previous month, and 44% expect sales volumes to worsen, consistent with May’s figures.
The latest edition of LMD has been released, and its digital version has been shared on WhatsApp and the publisher’s social media platforms. LMD’s publisher, Media Services, highlights two significant challenges for Sri Lanka as a developing country: corporate governance and the skill gap.
Better corporate governance procedures are essential for attracting foreign investment and maintaining the integrity of Sri Lanka’s business environment.
Strong frameworks that guarantee ethical business conduct are crucial. Despite advancements, there is a notable deficiency in qualified management personnel. Educational institutions, business leaders, and the government must collaborate to create programs that address the evolving demands of the corporate world.
The youth population in Sri Lanka has made significant strides in management and entrepreneurship, contributing to the transformation of the business environment.
Their dynamism, inventiveness, and flexibility have sparked innovation, fueling economic expansion and promoting an entrepreneurial culture.
However, young business owners face several challenges, including difficult regulations, insufficient infrastructure, and restricted access to funding.
They may also lack the necessary networks and expertise, making it difficult to navigate the complexities of running a business. The absence of mentorship and support networks further hinders their performance.
Despite these obstacles, Sri Lanka’s young community has shown remarkable tenacity. Limited job opportunities for school leavers can lead to unemployment or underemployment, presenting additional challenges for the country’s economic development.
While there are pockets of optimism and improvements in certain areas, widespread apprehension about the economic landscape persists. Addressing corporate governance issues and the skill gap is crucial for sustained economic growth and development in Sri Lanka.
