By Levy Masiteng
Business confidence in Durban fell below neutral for the first time in two years in the second quarter, as a deepening construction slump, higher operating costs and weaker sentiment across several major industries darkened the outlook for the city’s economy.
The Durban Business Confidence Index fell to 48.82 in the three months through June from 50.63 in the first quarter, a decline of 3.57%, according to a report released last week. The index was 6.83% lower than in the same period last year. A reading below 50 indicates businesses lack confidence in the local economy.
“For the first time since 2024Q2, the index has fallen below the neutral zone, indicating a lack of confidence in Durban’s economic prospects,” the report said.
The construction industry recorded the sharpest deterioration, with confidence falling almost 20% from the previous quarter and 41% from a year earlier.
The decline suggested “worsening
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