Businesses remain relatively resilient to economic challenges, but conditions are expected to deteriorate as the full force of higher interest rates is felt.
A monthly survey by NAB showed business conditions slipping one point to 17 index points, which is still a “very strong” result compared with historical averages.
But confidence in the Australian business community did sink below zero in the February report, falling 10 points to minus-four points.
The confidence indicator lifted into positive territory in January.
Conditions remained elevated across industries and states, with trading conditions and employment holding steady at 27 and 12 index points, respectively, while profitability dropped four points to 14….