Australia: Business confidence jumps up in May
June 10, 2015
The business sentiment index published by the National Australia Bank (NAB) jumped from April’s three points to seven points in May, marking the highest level in nine months. The jump has brought the indicator further above the 0-point threshold, meaning that Australian businesses are optimistic regarding economic conditions in the coming months.
According to the NAB, the announcement of the federal budget in May, particularly its accommodation towards small businesses, appears to have had an impact on business confidence. The Bank also pointed out that, “confidence was significantly higher in retail / wholesale (possibly associated with expectations from the Small Business Package) and finance, business and property services. Mining confidence, on the other hand, fell significantly (to -30 points).”
Author: Robert Hill, Economist