“On balance, the sub-indices on real economic activity also induced a positive effect on the BCI between January 2012 and February 2012. The annualised impact of the real economy was more positive in February than in January 2012 with six of the seven sub-indices reflecting improved performance,” noted Sacci on Wednesday.

The chamber noted that although more-year-on-year changes were positive, the rate of improvement was still lagging the long-term performance trend of the economy.

“Business confidence is still failing to identify real positive economic momentum,” said Sacci adding that the horizontal movement in business confidence although erratic indicated that there is room for improvement in business activity notwithstanding trying times in the Eurozone and the US among other things.

“From a confidence perspective, the real economy showed an improvement in February compared to a year ago while the financial environment remained neutral towards business confidence,” said Sacci.