The latest Global Economic Conditions Survey report by ACCA indicates that the global economic recovery has picked up speed in early 2011, but conditions remain fragile and new challenges have emerged. The survey, which drew on the views of 2,367 professional accountants around the world, found that the ACCA's Confidence Index reached relatively safe levels (-3) this quarter, up from a dangerous reading of -13 in the previous one. While this has generally led to a stabilization of the outlook for employment and investment in developed countries, accountants in the developing world report slightly less investment in staff and more layoffs as businesses continue to come to terms with the weaker-than-expected recovery. The most worrying development during the last quarter was the explosive rise of operating costs, following a steady build-up over the last year. For the first time since the survey began, more than half (51%) of the professionals responding to the survey reported problems with input inflation, making this the most commonly cited business challenge.
