Hong Kong’s business sector exuded greater confidence than its much larger counterpart in mainland China over the last six months, according to a recent business confidence report.
In the October 2013 edition of the Regus Business Confidence Index (RBCI), Hong Kong’s business confidence went up to 126 index points in October 2013 from 121 index points in September 2013.
On the other hand, while China dipped to 121 from 123, its confidence level is still way above the global average of 113.
The latest edition surveyed 190 business decision-makers in Hong Kong and 525 in China.
Sixty-five percent of respondents in Hong Kong said their company revenues had risen in the past year. Further indicating Hong Kong's increasingly bullish outlook, 75 percent predicted increasing revenues in the coming year.
These figures are roughly in line with the mainland China figures of 69 and 78 percent, respectively.
However, only 24 percent of mainland respondents agreed with the statement "I believe that economic recovery is advancing strongly in my country at present". Another 38 percent view the economic recovery would not advance strongly until the second half of 2014.
In its survey of more than 20,000 senior executives in 95 countries, RBCI noted that both markets may also reflect the movements in the confidence levels of mature economies and emerging economies.
RBCI said that on the average, confidence levels rose by five points to 109 in mature economies, while emerging markets dropped by nine points to 117.
Despite the uncertainty in the overall outlook, mature economies are pacing with emerging markets. The best-performing mature economies in terms of outlook are Germany, which is up by a point to 131 and the US, which moved up by eight points to 119.
Among emerging economies, India and Brazil topped the global ranking by both scoring 129 index points despite registering larger drops in the last six months.
"While mature economies are showing greater confidence as their economic outlook turns positive, emerging markets are seeing slower growth, and looking for ways to manage costs and boost productivity," said John Henderson, Chief Financial Officer, Regus Asia-Pacific.
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