Businesses in Nigeria have fingered insecurity as the biggest constraint to their operations.
This is according to a survey conducted by the Central Bank of Nigeria (CBN) and published by its statistical department in a report titled, “Business Expectation Survey.”
Other factors limiting businesses as identified by respondents are high interest rates, insufficient power supply, multiple taxation, extortion and corruption, and unfavourable economic environment among others.
Regarding business confidence across different regions, businesses in the North demonstrated greater optimism about the upcoming month, the next three months, and the next six months compared to their counterparts in the South.
Among the three zones in the North, only the North Central region exhibited a pessimistic outlook on business prospects, whereas, in the Southern region, all three zones reported a pessimistic business outlook for the near term.
Respondents in the Northeast zone expressed optimism about business activities for the month under review, with the overall Confidence Index reported at 23.6 points.
They also indicated optimism about the upcoming month, the next three months, and the next six months, with indices reported at 30.9, 42.0, and 48.2 points, respectively.
Businesses in the Northwest Zone also expressed optimism about business activities during the review period, with the overall Confidence Index recorded at 2.4 points.
They were also optimistic for the upcoming month, the next three months, and the next six months, with indices at 0.9, 20.6, and 27.4 points, respectively.
However, businesses surveyed in the North-central zone were pessimistic about business activities during the month under review, with the overall Confidence Index standing at -1.7 points.
However, they expressed optimism for the upcoming month, the next three months, and the next six months, with indices recorded at 10.6, 16.6, and 31.5 points, respectively.
Respondents in the South-South Zone were reported to be pessimistic about business activities during the month under review, with the overall Confidence Index at -6.5 points.
However, they expressed optimism for the next month, the following three months, and the next six months, with indices recorded at 2.3, 12.4, and 21.7 points, respectively.
Respondents in the Southwest Zone were reported to be pessimistic about business activities during the month under review, with the overall Confidence Index at -1.5 points.
However, they expressed optimism about the upcoming month, the next three months, and the next six months, with indices recorded at 9.6, 19.8, and 34.0 points, respectively.
In the Southeast Zone, businesses in the survey reported pessimism about business activities during the month under review, with the overall Confidence Index at -18.9 points.
They also expressed pessimism for the upcoming month and the next three months, with indices of -10.0 and -0.6 points, respectively. However, they were optimistic about the next six months, with the index recorded at 19.4 points.
