CEO News, September 2022
Hello and welcome to the September issue of CEO news What a difference one year makes! This time twelve months ago both Victoria and NSW were still experiencing prolonged lockdowns, and the road to economic recovery was being touted as uncertain and bumpy (at least initially). Fiscal support was still available and the Government rhetoric was all about households and businesses adapting to ‘living with Covid’. Fast-forward one year and large-scale lockdowns are a thing of the past, pent-up consumer demand has boosted services consumption, and the economic outlook has swung like a pendulum as various measures are being implemented to control inflation (resulting in a dampening of consumer confidence once again). The only constant has been change, and ProVision is committed to helping our members navigate future challenges and changes, whether that be through business coaching or resilience training or fatigue management. Covid has left a footprint on all of us, but there is still much opportunity ahead of us to optimise independent optometry’s place in the market. Take the time to re-acquaint yourself with all that ProVision offers in terms of services and support, and please lean into all things that can help strengthen your practice for future success. That’s why we’re here, after all!
Macro-Economic Outlook According to CBA research, the economy has entered contractionary territory and consumer confidence is beginning to taper off. The challenge for the RBA now is to facilitate a ‘soft landing’ and with Australia in a better situation than many other countries (lower inflation rates and much lower Government debt), measured stimulus reduction could achieve the desired effect with minimal harm. If the right balance is achieved, moderate economic growth is still expected for the remainder of 2022 and both inflation and interest rates are expected to peak towards the end of this year. Wages growth is also predicted to increase early in 2023. As with previous ProVision advice, we encourage you to make considered decisions around spend and maintain a cash reserve to help you navigate future unknowns. It’s still uncertain times but we are all more adept than ever at pivoting and adapting where needed with good preparation.