Global Business Confidence PlateausBy
After six months of improvement, business confidence leveled off in the second quarter of 2015, according to the most recent Global Economic Conditions Survey (GECS) from ACCA (Association of Chartered Certified Accountants) and IMA® (Institute of Management Accountants). Conducted quarterly, the GECS is the largest economic survey of professional accountants in the world.
The slowdown in confidence could be due to several factors: a rise in oil prices, several expected and unexpected rate cuts by central banks, a rebound in Western consumer sentiment, and the stock market crash in China.
The GECS reports a “growing sense that the global economy is moving into a sustained recovery” but notes that firms were still quick to cut staff when faced with uncertainty: 41% of respondents said that their firm had cut staff or halted recruiting in the second quarter—nearly twice the number that increased staff levels in the same period. About 46% of respondents cite the impact of rising costs as the driving concern for uncertainty, followed by decreased income (38%) and negative impact of foreign exchange movements (32%).
Read the full report at http://bit.ly/GECS2015Q2.