LUSAKA, May 17 (Xinhua) -- Business confidence in the private sector in Zambia decreased significantly during the first quarter of 2019 compared to the same period last year, survey results released on Friday showed.
According to the Business Confidence Index (BCI) produced by the Zambia Chambers of Commerce and Industry, confidence by the private sector decreased from 161.4 points recorded in the first quarter of 2018 to 137.8 points in the first quarter of 2019.
Michael Nyirenda, president of the association, said during a press briefing to release the results that the decrease signifies negative sentiments about the business climate in the country.
He attributed the decrease to the depreciation of the local currency, low sales due to reduced demand and delayed payments by the government as well as poor liquidity and increased competition from foreign goods.
According to him, other factors included policy inconsistence, lost contracts to supply the mining sector and poor rainfall in some parts of the country.
The association has since appealed to the government to ensure policy consistency in order to create a predictable business environment and to ensure timely payment to suppliers of goods and services in order to avoid shocking the business community.
