Canadian small business confidence hits record low

The confidence of small businesses in Canada has dropped to its lowest point ever, according to the Canadian Federation of Independent Business (CFIB). This decline comes as the trade conflict with the United States intensifies. In March, the CFIB reported that its business barometer index fell by 24.8 points to reach 25.0. This index measures business expectations on a scale from zero to 100. An index value below 50 indicates that more business owners expect poor performance compared to those anticipating improvement. Simon Gaudreault, the CFIB's chief economist, expressed concerns about the uncertainty surrounding the ongoing tariff disputes. He mentioned that many business owners fear that the worst financial impacts may still be ahead. The lack of optimism is affecting hiring plans as well. The CFIB revealed that 19 percent of small businesses plan to lay off employees in the coming months, a rise from 13 percent in February. Only 11 percent of firms reported intentions to hire new staff. This report is based on responses from 1,065 CFIB members collected between March 5 and 7.