SME confidence low
(19 August 2010 – Australia) National Australia Bank has said that confidence across the small business sector has plummeted.
The group’s business banking general manager, Geoff Greer, said that, despite this, the long-term profitability outlook was still optimistic, although SMEs were keeping an eye on the federal election.
SMEs are interested in the interest rate outlook and outcomes around future government policies, Mr Greer said.
The latest edition of the bank’s quarterly survey of small and medium sized enterprises revealed that profit growth, business conditions and the cash flow position deteriorated in the June quarter.
Key concerns of the 700 SMEs interviewed by the bank were weak customer demand, cash flow and rising borrowing costs, NAB said in a statement earlier in the week.
The main driver causing SMEs worries relating to borrowing were interest rates and access to credit, the bank said.
SMEs are interested in the interest rate outlook and outcomes around future government policies, Mr Greer said.
The latest edition of the bank’s quarterly survey of small and medium sized enterprises revealed that profit growth, business conditions and the cash flow position deteriorated in the June quarter.
Key concerns of the 700 SMEs interviewed by the bank were weak customer demand, cash flow and rising borrowing costs, NAB said in a statement earlier in the week.
The main driver causing SMEs worries relating to borrowing were interest rates and access to credit, the bank said.
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