Small business confidence plummets amid high debt, climbing interest rates: CFIB

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New research suggests small business confidence in Canada took nosedive in October, dropping to levels not recorded since early in pandemic.

The Canadian Federation of Independent Business said its latest business barometer survey found many businesses are struggling to repay debt accumulated during COVID-19 lockdowns as interest rates climb.Sign up to receive daily headline news from the Ottawa SUN, a division of Postmedia Network Inc.By clicking on the sign up button you consent to receive the above newsletter from Postmedia Network Inc. You may unsubscribe any time by clicking on the unsubscribe link at the bottom of our emails.

The central bank raised its key lending rate by a half-percentage point to 3.75 per cent on Wednesday, up from 0.25 per cent in March.tap here to see other videos from our teamAmong provinces, Ontario saw the lowest short-term outlook and the biggest drop in confidence this month, the CFIB said. “It’s concerning that the sector is showing such a negative outlook for the next three months,” she said. “It really speaks to the anxiety business owners are feeling about inflation and lower consumer spending intentions.”Article content

 

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