Amid low investment and rising extortion cases, merchants see fewer sales in the first two months

The performance of trade coincides with a state of uncertainty among businessmen. Photo: iStock

Amid low investment and rising extortion cases, merchants see fewer sales in the first two months

TL;DR

  • 65% of surveyed businesses reported stagnant or decreased sales compared to the previous year.
  • Investment, measured as gross fixed capital formation, grew by only 1.3% in the past year.
  • Over a thousand new norms, decrees, and resolutions were issued in the last year, contributing to legal uncertainty.
  • Extortion cases have shown a growing trend, increasing from 4,902 in 2016 to 12,180 annual cases by 2025.
  • Increased criminality leads to higher security costs and operational burdens for merchants.
  • Some sectors like vehicles, motorcycles, and pharmacies have shown favorable performance, but this does not offset the general slowdown.
  • Fiscal deterioration and concerns about energy sovereignty add to economic pressures.