Global economic confidence at four year low, shows survey
A worldwide survey of finance professionals carried out by The Association of Chartered Certified Accountants (ACCA) has found a sharp drop in positivity from business in the third quarter of 2015.
The global body for professional accountants' new report reveals that economic confidence on an international level is at the lowest in four years.
The new Global Economic Conditions Survey (GECS) findings were based on the responses of 950 finance professionals around the world, and they were gloomier than at any time since 2011.
Concerns surrounding the Chinese economy, together with falling global commodity prices, have adversely affected the emerging markets of the Asia Pacific region, where companies are freezing recruitment levels and other investments.
In China itself, business confidence is close to the lowest reading recorded by the GECS so far.
Head of business insights with ACCA Faye Chua commented: "While the global economy is currently built on volatile ground, there are some causes for optimism – with forecasters expecting a rise in global growth next year. But finance professionals will still need to be prepared to steer companies of all sizes through some difficult issues, given how quickly storms have developed in the global markets during recent weeks."
The lack of confidence in making investments isn't just limited to the East, as 44% of respondents to the survey said they were scaling back in this regard, with some even making cuts in their workforce.
Over 50% of the firms involved in the report said that there were now fewer profitable opportunities for them than there had been six months ago.