A survey conducted by the Chartered Professional Accountants of Canada (CPA Canada) has found that accountants are less pessimistic about the economy than they were at the end of 2015.
According to CPA Canada's Business Monitor survey for the first quarter of 2016, only 31% of accountants in leadership positions say they are pessimistic about how the economy will perform over the next 12 months. This is a significant improvement from the 50% who said they were discouraged in Q4 last year.
The price of oil
The report notes that the decline in pessimism did not translate into widespread optimism: 47% of respondents are neutral about the country's economic prospects, while just 22% are feeling optimistic. Asked to name the most significant challenge businesses face, 39% of those surveyed say it is the price of oil and 14% believe it is economic uncertainty.
In terms of how they expect their own companies to perform, 59% of the accountants who participated in the poll expect to see growth over the next 12 months. Will they hire new employees? 35% believe their firms will bring on new workers, 36% anticipate no change in staff levels, 27% think they will let people go, and the remaining said they did not know.
Uncertainty lingers
"The economic picture remains blurred," says CPA Canada president and CEO Joy Thomas. "There are positive signals with the rise in optimism and the decline in pessimism but uncertainty lingers so it is understandable for many of the business leaders to be cautious and guarded when looking ahead."
