Panic no longer a global economy driver, survey

Panic is no longer a major driver of the global economy as optimism returns, despite little evidence of economic recovery, - these are the findings of ACCA (the Association of Chartered Certified Accountants)’ s global survey of finance professionals for the second quarter of 2009, entitled ACCA Global Economic Conditions Survey. The respondents believe that economic recovery could be possible within the next 18 months. „Albeit finance professionals’ optimism continues to depend substantially on the actions of national governments, the reliance on state assistance seems to have dissipated since the first quarter of 2009 and business confidence is now more clearly linked to expectations of future growth”, the survey says. The survey shows that the loss of business confidence has slowed substantially, coming to a virtual halt in certain key areas, and even reversing in key sectors such as small and medium sized enterprises (SMEs) and large financial services firms. Despite this largely positive shift in perceptions, the survey of 546 ACCA members in 77 countries shows that trading conditions improved only marginally in the three months to May 2009. Respondents believe that harsh economic conditions would force organizations to look inward in search of cost savings and more efficient ways of doing business. Some of the business models established in better days are not expected to survive this new environment, the authors of the survey say. ACCA is a global body for professional accountants with 131,500 members in 170 countries worldwide.