LocationsAccording to the survey, 98% of the companies are operating normally in 2023
The 3rd Business Pulse Survey financed by UNDP Mauritius unveils its findings
November 16, 2023
From left to right: Mukesh Dawoonauth, Acting Director General of Statistics Mauritius; Amanda Serumaga, UNDP Mauritius and Seychelles Resident Representative; Gilbert Gnany, MCB Group Chief Strategy Officer, and Kevin Ramkaloan, CEO of Business Mauritius
Photo: UNDP Mauritius/Stéphane Bellerose
The 2023 Business Pulse Survey evaluates the prevailing business landscape, the resilience of businesses, and their anticipations amidst ongoing instabilities and uncertainties stemming from the enduring impacts of the Covid-19 pandemic, geopolitical factors, and other global disruptions. The findings of this survey conducted by Business Mauritius in partnership with Statistics Mauritius and the UNDP were disclosed during a launching event, which gathered several business actors and the press in Port-Louis on 15 November 2023.
The Business Pulse Surveys were initiated in 2020 to offer insights into the repercussions of Covid-19 on businesses one year into the pandemic. In the 2023 investigation, conducted between March and July, 504 companies responded, sourced from the databases of Statistic Mauritius, with the participation of 9 partner associations affiliated with Business Mauritius. Among the respondents, 4% are from the primary sector, 22% from the secondary sector and 74% from the tertiary sector.
Addressing the audience, Ms. Amanda Serumaga, UNDP Mauritius and Seychelles Resident Representative, stated: “The 3rd Business Pulse Survey indicates that businesses have shown signs of resilience, but challenges persist. As we strive for recovery, a return to "business as usual" is insufficient. The future must be shaped by sustainability and inclusivity. Sustainable development is not merely a buzzword; it is a blueprint for building businesses that can withstand future shocks. It involves minimizing environmental impact, promoting social well-being, and creating long-term economic value. By investing in sustainability, we build businesses that are adaptable and resilient, better equipped to face future crises”.
MAIN FINDINGS OF THE SURVEY
The 2023 survey highlights three positive factors for businesses: the recovery of client markets, a return to normal after Covid-19, and a decrease in sea freight costs. According to the study, 98% of companies are operating normally in 2023, a significant improvement from 78% in 2020 and 68% in 2021. Small and medium-sized enterprises (SMEs) have also shown improvement, with 96% operating normally compared to 52% in 2021.
Regarding sales, 83% of companies expect an increase or no change in 2023 compared to 2022. On the export side, 52% experienced an increase compared to 2021, and 78% anticipate either an increase or no change in 2023. The CAPEX index reflects positive progress, with 45% of companies increasing capital expenditure in 2022 compared to 2021, and 78% expect to maintain or increase it. Cash flow resilience has improved, with 25% experiencing a decrease in 2022 compared to 50% in 2020, and 81% anticipate an increase or no change in 2023.
The survey reveals that 44% of responding companies are Micro/Small SMEs, 22% are Medium SMEs, 45% are Mid-Market Enterprises, and 20% are large companies. In terms of gender distribution, 70% of responding companies are led by males, 26% by females, and 4% by both. Regarding human resources, 20% employ foreign workers, and 22% employ workers with disabilities.
The top challenges for businesses in 2023 include difficulty recruiting local staff (64%), lack of cash flow (37%), and foreign exchange rates affecting import prices (33%). The main priorities for business continuity and future prospects are staffing needs, identified by 83% of companies, and the desire to invest more in sustainable development in the next five years, expressed by 54% of respondents.
The survey recommended areas for further discussion such as Business Innovation and Resilience, Investment in Sustainable Development and Gender-related impacts
Download the 2023 Business Pulse Survey click HERE: