Business confidence has shown signs of recovery during the June quarter following cuts in interest rates and stimulus efforts.

The Commonwealth Bank Business SA Survey of Business Expectations for the June quarter showed that the South Australian confidence index increased 18.1 points (23 per cent) to 97.6 points.

Following consecutive quarters of falling confidence, this increase pushes confidence back from the lowest levels recorded in March since the survey was introduced in 2001.

While there are still concerns for business, the recovery in confidence for the June quarter is being attributed to the optimistic outlook in a challenging climate.

Business SA Chief Executive Officer, Peter Vaughan, said that survey results indicated that many businesses are cautiously optimistic about the immediate future.

"Business confidence has certainly taken a hit in previous months, however the resilience and strength of the local economy has left many businesses feeling positive about tackling the challenges that lay ahead," said Mr Vaughan.

"Interest rate cuts and stimulus packages have had their desired effect on the economy, however the challenges highlighted in the survey cannot be underestimated.

"Despite low confidence levels, economic data has reflected the strong performance of the local economy and this has been reflected in the survey confidence levels.

"General business conditions in the June quarter also recovered from the previous quarter's record low, increasing 11 per cent to 92.8 points and exceeding the expectations from the March survey."

According to respondents, the increase in confidence appears to be associated with the increase in sales revenue and the expectation of more to come.

"The roll-out of stimulus payments no doubt contributed to the increase of the sales revenue index in this survey, increasing by 11 per cent and exceeding March predictions.

"More than 40 per cent of businesses expect an increase in total sales revenue in the September quarter.

"Nearly half of respondents expect interest rates to remain stagnant in the September quarter, and we strongly believe there is room for further cuts to ensure confidence remains on track."

Joe Formichella, General Manager Corporate Financial Services, South Australia and Northern Territory, Commonwealth bank, said that the uplift in confidence in South Australia is a promising sign of a brighter road ahead.

"The latest survey results points to a recovery, albeit minor at this stage, for South Australia. Businesses are still facing challenges with cash flow, rising costs and unemployment, however, it is likely that we should continue to see an uplift in confidence as the broader global economy begins to slowly improve in the coming months.

ONE OF ADELAIDE'S LEADING SKIN, BEAUTY, BODY, CARE STUDIOS

While this business is well established and well known, there is still ample opportunity to expand the client base and increase profitabilty. Equipment is modern and state of the art, while the decor has been tastefully and thoughtfully designed. This business offers a range of services and treatments which are designed to appeal to todays modern woman. Passing foot traffic ensures that there is a steady stream of &quotdrop in&quot business complimenting the already booked clients. ALL REASONABLE OFFERS CONSIDERED!Contact Bronte Schubert on 0427 253 870 or 08 8334 0608

Dover Fisheries

Dover Fisheries Pty Ltd is one of the worlds largest abalone producers. The company was established in 1976. We are specialists in processing and exporting abalone products. The abalone we supply are mainly from the wild fishery, sourced from the cool, clean waters off South Australia, New South Wales, Tasmania, Victoria, Western Australia and New Zealand. We supply abalone in various forms such as in cans, frozen, heat sterilised vacuum pack as well as different species to satisfy different customer requirements.Contact23 Wilson StreetRoyal ParkSouth AustraliaAustralia 5014Phone: 61-8-8341 2299Fax: 61-8-8341 2246E-mail: enquiries@doverfisheries.com.au