Nick Sherry (Tasmania, Australian Labor Party, Assistant Treasurer) Share this | Hansard source

Thank you, Senator Furner. Business conditions and confidence continue to improve, according to the latest surveys from the National Australia Bank and from Dun and Bradstreet. The D&B business expectations survey for the December quarter shows sales and profit expectations have recorded their biggest one-quarter increase since the survey began in 1998. The NAB business survey for August released this morning shows business confidence has increased to its highest level in six years. The NAB says:

The result is the strongest since October 2003 and indicates that businesses are very optimistic about the economy, monetary and fiscal measures undertaken by authorities to deal with the current global crisis as well as the resultant economic impacts.

The NAB survey also shows business conditions improved to their highest level in more than a year, since May 2008, immediately before the global financial meltdown. Of course, this week we certainly do not celebrate but we observe the events of a year ago in the United States, when the global financial crisis really hit the world economy. Retail, construction, wholesale, mining and finance all reported positive business conditions, with construction taking over from retail as the best-performing industry. Again, I would highlight the contrast between Australia and North America and most of Europe, where activity in these sectors has collapsed. This proves and the survey shows that the phasing—and I want to emphasise that the government’s stimulus package is a phased approach—from direct stimulus payments to investment in nation building infrastructure of the government’s economic stimulus is supporting activity and confidence in our economy. The recovery will need the continued support of our stimulus package. The job is not yet over and we are certain we are not out of the woods yet. (Time expired)