Business Confidence Soars in 2012

February 29, 2012 New Zealand Finance

Business Confidence Soars in New ZealandNew Zealand businesses are enjoying a greater sense of economic confidence, and the national construction is the most optimistic industry in the country.

On February 29th the National Bank released its quarterly Business Outlook survey report, saying that 28 percent of New Zealand businesses, compared to 19 percent in the December quarter of 2011, are expecting the economic conditions in the country to improve even more in the nearest future.

Approximately 31 percent of all businesses participating in the survey expected to see an increase in their own business activities over the coming year, compared to approximately 26 percent in the December quarter of 2011. Nearly 8 percent of businesses intend to hire more staff in 2012, up 3 percent from indicators published three months ago.

The National Bank attributed the rise in business confidence to improved economic conditions amongst New Zealand’s key trading partners and to New Zealand’s stable economic forecasts.

Businesses in the construction industry were the most optimistic in New Zealand, with nearly 49 percent of all surveyed enterprises expecting to see greater business activity in 2012, and nearly a third of all construction businesses intending to hire new staff during the current year. The boost in confidence was explained by a significant increase in the number of planned building projects across the country, especially in the Christchurch region.

Photo by Earth Infrastructures