The findings were the result of CPA Australia’s Asia-Pacific Small Business Survey, which tracks business confidence throughout the Asia-Pacific region.
For the first time in the survey’s five-year history, regional business confidence has increased in Australia and New Zealand but declined significantly in Malaysia, Hong Kong and Singapore.
CPA Australia chief executive Alex Malley said the survey indicated global economic volatility is severely impacting small business confidence in Asia, with confidence falling significantly in Hong Kong and Malaysia and beginning to decline in Indonesia and Singapore.
Mr Malley referred to small business as “the canary in the coal mine” when it comes to economic uncertainty and volatility.
“This survey should send a clear warning throughout the region that all is not well with the sector,” he said.
“On the positive side, it appears that the change of government in Australia has provided a welcome shot in the arm to small business confidence, with one in five small businesses surveyed expecting to increase employee numbers in 2014.”
Mr Malley said the economic data from New Zealand was also robust, with surging property prices, low interest rates and the gradual reconstruction of Christchurch following the 2011 earthquake boosting small business confidence in 2014.
Half of all small businesses in New Zealand expect growth in 2014, he said.
Mr Malley said he hoped the survey would become an important reference point for policy makers throughout the region.
“With five years of data now at our fingertips, this survey is an excellent tool for governments and industry to compare the experiences of small business across six international markets and ensure that we have the settings right to enhance efficiency, maximise investment and stimulate this vital sector of the economy for the future.”
