As we move into the second quarter of a new year, let us pause to appreciate what has been quite an eventful few months. With the election, the possibility of a global trade war, and other world events, Augusta business owners have a lot to think about in 2025. The good news is that things are looking promising for commerce in and around Augusta, thanks to our community’s continued economic and business strength and steady population growth.
Economic Tailwinds
With markets continuing to hover near record highs and the national economic picture looking better, Augusta businesses have a lot to be optimistic about in the coming year. The Fed has signaled its commitment to bringing interest rates down this year, even if the process is slower than investors would like—the Fed left rates unchanged at its January meeting, indicating it was in “no hurry.” Nevertheless, expect rates to come down further this year. This could translate into lower borrowing costs for businesses locally and nationally, which in turn could encourage more capital investment. With local unemployment levels low and inflation relatively contained, consumer spending has been robust. While this is a positive trend, there are some signs that consumers may even be too optimistic. Recent national data continue to show high levels of consumer debt and unwillingness to pay more than the minimum—despite economic strength. For that reason, businesses should be wary of a possible consumer bubble.
Built-in Advantages
One reason we at Synovus are bullish on our community’s business prospects is the built-in strategic advantages that our city offers to growing enterprises. Augusta’s strategic location has always given it a competitive leg-up over other areas. Situated on the Savannah River, we have easy access to major transportation networks, including highways, railroads, and a deep-water port via the Port of Savannah. This connectivity makes our city an attractive location for logistics, manufacturing, and distribution companies looking to serve both regional and national markets. This will be a major benefit to Augusta as political winds shift toward more domestic manufacturing and production.
Industries on the Move
Another reason for optimism is the expansion of Augusta’s healthcare and technology sectors. The city’s medical community, anchored by the Augusta University Health System, Piedmont Augusta Hospital, Doctors Hospital, and the Veterans Affairs Medical Center, is one of the largest employers in the region. The continued investment in healthcare infrastructure, including the new medical research buildings at Augusta University, is attracting biotech and life sciences companies to the area. These investments are helping to solidify Augusta as a growing hub for health innovation and research.
Additionally, Augusta is seeing growth in its tech and cybersecurity industries. The establishment of the Georgia Cyber Center in 2018, which houses both private and government cybersecurity firms, has transformed the city into a cybersecurity hotspot. With its proximity to Fort Eisenhower, a U.S. Army base that specializes in cyber operations, Augusta has become a magnet for tech talent and cybersecurity-related businesses. This trend is expected to continue as private sector firms and government agencies tap into Augusta’s growing expertise in cybersecurity.
Entrepreneur-Friendly
The city’s relatively low cost of living, combined with an expanding infrastructure, also makes it an attractive place for entrepreneurs and startups. City leadership proactively supports small businesses and provides resources for entrepreneurs, including business incubators and networking opportunities. The local government has made efforts to revitalize downtown Augusta, which has spurred new restaurants, retail shops, and entertainment venues, contributing to a vibrant local economy.
Kevin Glass is the Augusta Market President at Synovus Bank.
