Mr McFarland said heading into summer things were looking brighter for businesses.

"Businesses have had to grapple with the disruption of our first major COVID outbreak on the Border," he said of recent weeks.

"That has seen some workplaces close or have a significant reduction in staff, however as case numbers are turning around there is certainly growing confidence as we go into summer period especially for the visitor economy."

Business NSW's business conditions survey showed confidence remained very low across the state in the September quarter, but the Riverina and Murray region fared better than many parts of NSW.

On average, business confidence sat at -83 in NSW, while Murray scored -54 and Riverina -69.

The survey covers July, August and September, so does not reflect the impact of the current localised Border outbreak.

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"When we look at business confidence ... Murray has tracked above average for the last 12 months," he said.

"At a very negative time the Murray region tracked least negative. What that number does say is despite the impact of lockdown on visitor economy, the strong trading conditions in agriculture, manufacturing, construction and professional services have been good buffer for what is been happening."

Mr McFarlane said the way both NSW and Victoria's governments had dealt with the current outbreak, namely the avoidance of a lockdown, would instil confidence in businesses that their doors would remain open.

"I think the NSW government has turned corner in terms of living with COVID and allowing businesses to live with COVID," he said.

"It's certainly a positive confidence boost that it is going to take something more catastrophic before we see return to lockdown."

Mr McFarlane said the September quarter survey found 43 per cent of businesses were experiencing a skills shortage.

On the Border, hospitality and tourism businesses had been struggling to attract staff after losing much of their workforce to different industries during repeat lockdowns.

The agriculture sector was struggling due to the lack of international backpackers.

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