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Mixed views from finance professionals about economic recovery

27 May 2009

The findings of ACCA's Global Economic Conditions Survey have revealed that finance professionals are predicting a slow recovery for the world economy, with a noticeable loss of confidence in the sectors and countries that were once the engines of world economic growth.

While the contraction in world trade has come as a shock to professionals in the Asia Pacific region, especially to those in China - who have suffered a bigger loss of confidence compared to their Western counterparts - the survey of 805 ACCA members in 80 countries recognises a greater optimism in emerging African markets like Botswana, Zambia, Ghana and Kenya, where the economy is expected to recover sooner.

The survey also reveals how hopes of an early recovery are underpinned by trust in the responses of governments to the crisis. However, businesses need to play a part too, as one respondent - a director at a US-based, global HR consulting firm - explained: 'The government can be a catalyst, but the corporations have to act. The corporations so far have not acted to help with the execution. The industry (banks and financial institutions) need to be more responsive.'

Commenting on the survey's findings, Steve Priddy, ACCA technical policy and research director, said: 'There is a wide range of responses to the global downturn, showing that businesses are open to new paths to innovation, new business models and investing in future profitability. This is where policy makers come in - businesses need the policies and government support to help make these things happen.'