Business confidence shows signs of life

Submitted 4/08/2009

Migration for Business Growth

 

Business confidence has shown signs of recovery during the June quarter following cuts in interest rates and stimulus efforts, according to the State's leading business organisation, Business SA.

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.

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