Story image

Business confidence in Australia highest in 4 years

16 Feb 18

Businesses across Australia are feeling confident about their current situations as well as the economy in the future – and the IT industry is leading the way.

Roy Morgan’s Australia Business Confidence index jumped 6.1 points (5.2 percent) to 123.5 in January, representing its highest start to a year since January 2014.

With 59.3 percent, the majority of businesses are expecting ‘good times’ economically for Australia and over the next 12 months. Meanwhile, 56.1 percent are expecting ‘good times’ for Australia over the next five years and 55.3 percent saying now is a ‘good time to invest’ in growing the business.

"The strength in Roy Morgan Business Confidence is driven by increases in Australia's three largest States of NSW, Victoria and Queensland which all increased in January with NSW and SA now having the highest Business Confidence in Australia,” says Roy Morgan CEO Michele Levine.

“In contrast Business Confidence was down slightly in WA and Tasmania although Business Confidence is now above 110 in all States.”

January’s large increase in Roy Morgan Business Confidence was driven by rises in confidence in industries, particularly Information media and telecommunications, followed by Electricity, gas, water and waste, Construction, and Wholesale trade.

“Analysing the performance of industries in January shows that the most confident industries to start 2018 are Information media and telecommunications now at a record high, Construction, Transport, Postal & warehousing and Electricity, gas, water & waste all at multi-year highs,” says Levine.

"Even more positively for Australian economic growth in the year ahead Roy Morgan Business Confidence for every industry component was in positive territory above 100 for the first time in nearly four years since April 2014 indicating that confidence is broad-based across the economy."

Some of the other statistics from the Roy Morgan Business Confidence index include:

  • 36.1 percent (down 7 percent) expect bad times in the Australian economy over the next 12 months, while 36.2 percent (down 4.3 percent) expect bad times in the Australian economy over the 5 years
  • 44.7 percent (up 3.5 percent) of businesses say their business is better off than this time last year compared to 26.7 percent (down 1.3 percent) that say it’s worse
  • 52.7 percent (up 3 percent) say their business will be better off financially this time next year compared to 18.2 percent (down 1.5 percent) that expect it to be worse
  • 55.3 percent (down 2 percent) say the next 12 months will be a good time to invest in growing the business compared to the 33 percent (down 1.3 percent) that say it will be a bad time to invest
Survey reveals CX disconnect is risky business
Too much conversation and too little action could lead companies to neglect, lose, and repel their very lifeblood, according to Dimension Data.
Eaton launches portal and revamped partner programme
The portal has many features including a training academy, monthly promotions, rewards and a 24-hour turnaround on deal registrations.
8x8 appoints A/NZ channel senior manager
Joins 8x8 after time at Oracle, Avaya and Optus to managing 8x8’s growing team of partners across the region.
Check Point launches hyperscale network security solution
With Check Point Maestro, organisations can scale up their existing Check Point security gateways on demand.
Trend Micro’s telecom security solution certified as VMware-ready
Certification by VMware allows communications service providers who prefer or have already adopted VMware vCloud NFV to add network security services from Trend Micro.
Logitech wins awards for the art of good design
What makes a good design? Logitech may know a thing or two about that.
Fujitsu takes conservation prize for immersion cooling system
The prize was awarded for the Fujitsu Server PRIMERGY Immersion Cooling System that can reduce power consumption by up to 40%.
Why 37% of enterprises believe in artificial intelligence
The number of enterprises implementing artificial intelligence grew 270% in the past four years and tripled in the past year, according to Gartner.