Nearly half of Connecticut business leaders are forecasting economic stability for the near-future, according to the 2016 CBIA/Farmington Bank 3rd Quarter Economic and Credit Availability Survey.
Forty-nine percent of the survey’s 176 respondents predicted short-term stable conditions, unchanged from the previous two quarters. Twenty-six percent of respondents forecast improved conditions, down from 35 percent in the second quarter, while 24 percent were pessimistic about the near-future, up from 17 percent in the previous quarter.
Furthermore, 79 percent of respondents rated Connecticut’s lending climate within the range of average, good or excellent, but 28 percent expected the lending climate to grow less favorable in the next three months. Thirty-eight percent of the respondents admitted to using financing over the last three months, and 78 percent said they used bank loans or lines of credit to meet their financial needs.
“While the probability of a recession is likely low, it’s important to note that more companies are preparing for a reduction in staffing,” CBIA Economist Pete Gioia said. “As the economy struggles to regain jobs, it’s always important to ask why companies are losing them, and right now, we don’t know.”
But if Connecticut jobs should start to disappear, few people will blame the British: 89 percent of respondents believed they would feel no impact from Brexit, while 8 percent expected a negative impact and 3 percent predicted a positive result.