The Association of Ghana Industries (AGI) has revealed that businesses in Ghana are still battling with the high cost of utility and taxes.

This was contained in the fourth quarter of the AGI’s 2016 business barometer report.

The report stated that the high cost of credit, the multiplicity of taxes and cedi depreciation were the biggest challenges faced by businesses in the country.

READ ALSO: Finance Minister likely to present 2017 budget on March 3

The report revealed that 70% of businesses surveyed were confident business will improve.

This is an increase from the 57% recorded on the same issue in the third quarter of 2016.

However 26% of respondents expect business confidence to remain the same. This is a decline from 37% in the previous quarter.

READ ALSO: Cedi will remain unstable in first quarter of 2017 - Analysts

Similarly, businesses who expected confidence to be worse than normal, dropped, from 6.2 to 3%.

The report, therefore, indicates that business confidence is beginning to rise, from 99.0 in the third quarter to 101.6 points in the fourth quarter of 2016.

Meanwhile about 10% more of employers who responded to the questionnaires are likely to hire more by the end of March 2017.

READ ALSO:  Bureaucratic processes for business registration to be reduced - Minister Designate for Business

Many businesses have very high expectations of the Nana Addo-led government. Most of them expect the new government to reduce in taxes and cost of utility as well as the create a business friendly environment so they can thrive.

Most businesses are hopeful the government will do all within its power to improve the economic situation for a business-friendly environment.