Business leaders feeling positive about their future cash flow and financial performance measures
While current cash flow and financial performance sentiment are down for New Zealand business leaders, their forward view is much more positive. The 34% of business leaders who currently feel positive about their cash flow jumps to 49% when thinking about the next six months, while the 35% figure for current financial performance leaps up to 54% expecting to feel positive in six months’ time. This suggests business leaders feel confident about their ability to improve the business measures that are at least somewhat within their control – while those out of their control, including external economic and political factors, continue to have low levels of positivity when looking into the future.
And while the economy will likely continue to be challenging for many business leaders, there is hope on the horizon. The September 2024 BusinessNZ Planning Forecast says there are bright spots for the New Zealand economy, including warmer business and consumer sentiment, reduced inflation, and falling interest rates. October’s OCR cash rate will be welcomed by many, and with inflation recently falling to its lowest level in three-and-a-half years, business leaders and consumers alike will be hoping for fewer economic pressures in the months and years to come.
Regulatory and environmental performance proves positive
Out of all the business performance metrics our survey covers, business leaders are feeling the most positive about their progress in meeting regulations and compliance, and their environmental and social impact on communities around them. This could indicate that businesses are making strides in their approach to climate matters and compliance – or it may be that with more immediate financial concerns to worry about, these more long-term regulatory matters are falling down the list of worries.
