New Zealand's business confidence has sharply declined in the second quarter of 2024, dropping to -44%, according to the NZIER Business Confidence Survey. This represents a significant decrease from the -25% recorded in the first quarter of the year, reflecting growing pessimism among businesses.
The NZIER survey, updated on July 1, 2024, highlights mounting concerns within the business community about the country's economic outlook. Businesses are grappling with various challenges, including inflationary pressures, supply chain disruptions, and global economic uncertainties, which have collectively contributed to the heightened level of apprehension.
The escalating negative sentiment among businesses could have far-reaching implications for investment and job creation in the near term. Policymakers and economic stakeholders will need to closely monitor these developments and possibly consider measures to bolster confidence and support economic stability.
