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Hi, does the wording "precondition" mean sufficiency?

Ex: confidence in economic policies is a precondition for new investment.
FL diagram: confidence --> new investment

Is this a correct way of interpreting the above statement?

No, it means neccessary, like a prerequisite. Confidence does not necessarily mean there will be new investment, but there definitely won't be new investment without confidence.

New investment --> confidence
~confidence --> ~new investment

Thanks!