Research: Entrepreneurs believe that the economic situation inhibits business development

The index of the current situation in the economy, calculated by Alfa -Banku based on a survey of owners and leaders of 1405 small business companies in the 64 largest cities of the country, in the second half of the year, from -69 points to -78 points decreased.

This means that most of the entrepreneurs evaluate the influence of external conditions as a negative factor for business, the bank analysts write in the report according to the results of the second wave of the Small Business Pulse study.

87% of the entrepreneurs surveyed believe that the current economic situation in the country inhibits business development, the authors of the study state.

At the same time, only 10% of respondents say that the situation contributes to doing business, 3% found it difficult to answer.

81% of entrepreneurs noted the negative impact on the business situation in their industry, 15% believe that the situation in the industry helps their business, 4% found it difficult to answer. Over the past six months, the number of negative assessments has increased, researchers say.

About 92% of respondents believe that the purchasing power of the population in the whole country has decreased, about 80% note a decrease in purchasing power in their industry.

"By the end of 2015, entrepreneurs ceased to wait for a quick restoration of demand, now they are soberly evaluating the economic situation and do not expect rapid positive changes in the future. The main task for small business at the moment is to rebuild the business," the bank analysts say.

The assessment of the situation in the economy makes the greatest negative contribution to the consolidated mood of the small business mood, which has decreased by 1.5 times, to -38 points. Six months ago, its value was -25 points. Indices of the current situation in the company and expectations for the company (forecast for their business for six months): -24 and -1 item, respectively.

The value of the expectations index close to zero means that the opinions regarding the prospects in their business were divided by about 50/50, positive and negative forecasts for their company give an approximately the same number of entrepreneurs.