NAIROBI, Kenya, Feb 28 – Business leaders are confident of good economic performance in the post election period of 2013 than they were last year, according to a new survey.
The survey conducted by Ipsos Synovate shows that the confidence index currently stands at 59.2 percent up from 53.8 percent in September 2012.
According to the survey, the greatest concern by the business leaders is election related violence which was mentioned by 48 percent of the respondents.
The confidence findings varied by size of the company with large enterprises having the lowest index at 51.2 percent followed by small enterprises at 58.3 percent and medium enterprises at 63.5 percent.
Other concerns by the business in the electioneering period include economic downturn (mentioned by 22 percent), loopholes in governance during transition and insecurity both at 13 percent.
The Business Leaders Confidence Index (BLCI) collects business leaders’ perceptions towards the economy in general.
The higher the index, the more optimistic business leaders are on the performance of the economy.
In terms of political favourability, 71 percent of the business leaders stated that the political landscape in Kenya is conducive.
A similar survey conducted in September 2012 showed 70 percent confidence levels.
According to Ipsos Synovate the improvement in the confidence index can be attributed to the Mkenya Daima, a campaign spearheaded by the Kenya Private Sector Alliance (KEPSA) that is geared towards pursuing peaceful elections.
The camping led by KEPSA brought together the private sector, civil society and religious leaders, the vision 2030 secretariat, the National Cohesion and Integration Commission (NCIC), Ministry of Justice among others organizations.
The survey interviewed 107 business leaders representing small, medium and large enterprises across various sectors between January and February 2013.
The confidence levels by business leaders dropped from 63 percent in December 2007 to 34 percent in 2008, periods within which the effects of the post election violence were immediately felt.
“This could be an indication that the business community continues to be resilient regardless of the current political climate,” Synovate said in a dispatch to newsrooms.