MSMEs started 2026 with caution: these are some decisions they have made after the 23% increase in the minimum wage

83.4% of entrepreneurs stated that insecurity affects the performance of their companies, Photo: iStock

MSMEs started 2026 with caution: these are some decisions they have made after the 23% increase in the minimum wage

TL;DR

  • MSMEs anticipate a productive slowdown in the first quarter of 2026 due to uncertainty and the 23% minimum wage increase.
  • Companies are implementing measures such as freezing new hires (35.7%), not replacing departing staff (22.2%), and reducing workloads (18.4%) in response to increased labor costs.
  • Over 60% of businesses have made changes to their labor structure, and more than half foresee a reduction in personnel.
  • Security concerns, particularly theft, extortion, and insecure goods transport, are heavily impacting business performance.
  • Corruption is perceived as a major limiter of growth and competitiveness, particularly within state contracting and public permits.
  • Political uncertainty, stemming from economic/tax policy changes and institutional instability, is influencing investment and growth decisions.
  • Confidence among MSMEs for the next six months is mixed, with significant portions reporting moderate, low, or no confidence.