Levels of business confidence slump 40% in Australia

BUSINESS confidence levels in Australia have slumped by 40% in the past 12 months, according to a new report.

Optimism levels among Australian companies as measured by the annual Grant Thornton International Business Report have gone from 79% at the start of 2010 to 37% as of now.

The decline in consumer spending and an increase in interest rates have shaken the confidence of the business community in the country.

However, Australia’s 37% optimism level is still above the 23% average and the country’s economic growth is still healthy.

Further positive news for potential emigrants is that certain sectors — such as construction, retail and manufacturing — are setto be boosted by large scale repair work following Australia’s recent spate of flooding and bush fires.

Recent figures from the Economic and Social Research Institute (ESRI), suggested that nearly half of the 60,000 people who emigrated from Ireland last year headed to Australia and New Zealand; while up to another 40,000 are expected to leave this year.

“We know Irish businesses are looking outside of Ireland for opportunities and so are many Irish people. But if you do choose to go, it’s important to look at the trends in the economies of your chosen destination. Irish people and businesses have built up a solid reputation and skillset over the last decade that enables them to compete globally. Countries like Australia offer Irish construction businesses, with a proven product and reputation, opportunities to grow internationally,” according to Grant Thornton Ireland’s Pat Burke.

“Industries like construction, manufacturing and building suppliers will be in high demand as those affected by the floods begin the long process of rebuilding,” added Grant Thornton Australia’s Tony Markwell.