[OTTAWA, ON] — The Bank of Canada's new business outlook survey finds Canadian executives surprisingly upbeat about economic prospects in the next year.
The much-watched survey of business confidence and intentions shows firms are indeed concerned about global risks, but believe sales will improve over the next 12 months.
As well, businesses expect to invest more and continuing hiring to meet additional demand.
The survey shows a positive balance of opinion on sales growth, with 47 per cent saying they expect shipment volumes will grow at a greater rate than in the past 12 months, as opposed to 32 per cent who expect sales to slow.
The 15-point balance of opinion is less than the bank received during the spring survey on the question, but notes the positive reading adds to an already strong rate from last year.
The most encouraging reading is on hiring intentions, with 59 per cent of firms saying they plan to hire additional workers in the next 12 months, as opposed to only six per cent that plan to reduce their workforce.
The survey was conducted between May 22 and June 14, at a time when Europe's debt crisis had already begun dominating headlines.