Despite 2.7-Point Drop of Business Confidence, Australian Business Owners Foresee Higher Revenue in Next 6 Months
By Vittorio Hernandez | April 29, 2014 4:53 PM EST
Businesses are still struggling to gain access to financing (Photo: Reuters)
But despite the dip, confidence is generally high for the first quarter of 2014 at 14.3 points. It is the second-highest reading since CBA started making the survey in September 2011.
The survey found that 35 per cent of Aussie businesses expect conditions to improve in the next six months, down from 47 per cent in the 4th quarter of 2013.
Over half expect revenue to increase and 46 per cent anticipate an improvement in profit.
The decline notwithstanding, CBA chief economist Michael Blythe said, "With risk appetite, business capex and labour hiring expected to increase, this bodes well for the broader economy. Stabilisation of the jobs market is needed to support consumer confidence and the growth transition to non-mining activity will be driven by greater investment in the mid-market."
Adam Bennett, executive general manager for Local Business Banking of CBA, said survey results indicate a sense of optimism among small business owners. He pointed out that "Overall economic conditions look largely positive, with strong employment growth, low interest rates and a healthy housing market supporting improving business confidence and spending patterns."
To contact the editor, e-mail:
Most Popular Slideshows
- ‘Sons of Anarchy’ Season 7 Finale Spoilers: Kurt Sutter On Ending The Biker Series And Picking The Right Song For The Final Ride
- Prince Charles’ Wife Camilla Parker-Bowles In Drug Scandal - Reports
- Prince Harry Kissing Mystery Blond, Cressida Bonas & Camilla Thurlow Are Distant Memory
- St. Louis Rams 28, Seattle Seahawks 26 [PHOTOS]
Join the Conversation
- Galaxy Note 4 vs Redmi Note 2 vs iPhone 6: Samsung in Danger with Depressing Q3
- Apple Inc. (AAPL) Stock Set to Soar Beyond $100 Despite Decline After New iPad Launch
- iPhone 6 vs Nexus 6 vs Galaxy Note 4: Performance and User Interface Comparison
- Fappening: Message Board Posters Belittle Nude Photo Leakers As D-Listers Seeking Publicity
- Fappening: Lindsay Clubine, Wife Of Boston Red Sox Pitcher Clay Buchholz, & George Sampson Of Britain’s Got Talent, Are The Latest Victims Of Celebrity Nude Leaks
- U.S. Missile Shield In Europe Opens In Romania: Russia's Reservations Ignored
- Spain Offers To Train Iraqi Troops To Fight Back ISIS Militants: Kurdish Forces Making Gains In Kobani Against ISIS Surge