NAB Australia Business Confidence

The National Australia Bank (NAB) Business Confidence Index is calculated based on a business survey of Australian companies conducted by NAB. It reflects the expectations of businesses regarding business conditions for the next 3 months.

Respondents provide not absolute, but relative forecasts about how the conditions for their business may change in the next three months (excluding the usual seasonal changes): whether the conditions will improve, worsen or will not change.

The full monthly survey is a compilation of assessments of various business condition factors, covering tax regulation, housing prices, interest rates, the labor market, supply and demand, input and output prices, wages, geopolitical risks, federal and regional policies, and other factors.

The survey coverage includes companies of most sectors of the Australian economy, such as mining, retailing, manufacturing, construction, retail and wholesale trade, transportation, financial and IT services, recreation and entertainment. The full report features separate charts for these industries and for eight Australian states. Based on a comprehensive questionnaire, NAB economists conduct a full analysis of the situation and compile a detailed text report describing which factors have the strongest influence on the respondents' opinions.

The Business Confidence Index is one of the key indicators characterizing Australian business conditions and the overall national economy state. A reading above zero indicates improving business conditions and positive sentiment in the Australian business environment. This may affect the Australian dollar quotes positively. A negative figure indicates a worsening situation.