According to Grant Thornton survey Armenian businessmen more optimistic for the year 2011

YEREVAN, FEBRUARY 11, ARMENPRESS: Confidence levels over economic performance are higher in Latin America than any other part of the world as the region leads the way on business optimism into the New Year, according to the 2011 Grant Thornton International Business Report (IBR). 2011 is the first year Latin America has led the world on optimism with a balance of +75% of privately held business owners being optimistic about their region’s economic performance.

Elsewhere, optimism in the Asia Pacific region (excluding Japan) is at +50%, whilst in North America it is just +26%, with Europe the least optimistic region at +22%. Within Latin America, Chile (+95%) scored the highest optimism of any country surveyed followed by Brazil (+79%), Argentina (+70%) and Mexico (+64%). Armenian businessmen have also shown an increase in the level of their optimism for the year 2011, showing a significant positive swing equal to +48% against the last year’s +32%.

The 2011 IBR reveals some big swings in optimism levels in key economies. Businesses in Germany are the most optimistic in the Eurozone at +75% – an optimism which has surged over the past year (2010: +38%). In addition Finland (+57%), Belgium (+45%) and the Netherlands (+19%) are all experiencing high levels of business confidence going into 2011. However, going into 2011 confidence is understandably low throughout those Eurozone economies experiencing sovereign debt troubles with Ireland (-45%), Spain (-50%) and Greece (-44%) at the bottom of the global league table. Ed Nusbaum, CEO of Grant Thornton International, said, "This year’s report tells a concerning tale of two Europes.

Diverging levels of business confidence across the region will put increasing strain on a Eurozone that has had a turbulent 2010. Maintaining a monetary union across nation states that are pulling in opposite directions will be increasingly difficult. The Eurozone seems likely to go through several years of tension and a period of persistent volatility in financial markets. 2011 could be a year when crucial decisions need to be taken about the euro.

" The IBR reveals that business owners expect to see only moderate levels of investment in 2011. 35% more businesses expect to see increases in investment in plant and machinery and only 24% more expect to see an increase in research and development (R&D). A notable exception to this trend is mainland China where +47% of businesses expect to increase investment in plant and machinery, and +61% expect to increase their R&D.