The latest Thomson Reuters/INSEAD Asia Business Sentiment Survey showed that the Asia Business Sentiment Index rose to 65 in March from 63 in December. The survey also added that during the period, Philippines and Malaysia have the most optimistic outlook for the period given the two countries’ positive economic conditions. A reading above 50 indicates an overall positive outlook.
The survey showed that business sentiment in Southeast Asia was mostly optimistic due to government-driven investment spending in infrastructure as well as robust domestic spending.
"Malaysia and the Philippines were the most positive with readings of 100 each," the survey read.
The survey also noted that this is the second consecutive quarter of 100 readings for both countries. On the other hand, companies in China, Japan and South Korea, were the least positive with index readings of 50.
Across the region, global economic uncertainty ranks as the chief business risk. The survey noted that uncertainty in recovery of the world economy is mainly responsible for the cautious outlook of most economies. Other business risks identified were rising costs, political instability and foreign exchange volatility.
The survey covered 100 executives in 11 Asia-Pacific countries conducted between 4 to 5 March 2013.
Thomson Reuters is the world's leading source of intelligent information for businesses and professionals while INSEAD is one of the world's leading and largest graduate business schools.