Business

Australasian firms taking cautious approach to investing

07:09 am on 10 October 2011

The slowing global economy has led Australasian firms to adopt a more cautious approach to investing.

Ernst & Young's latest six-monthly Capital Confidence Barometer found more respondents keen to hold onto their money.

Some 30% of firms say they're focused on preserving capital, up from just 8% in April, while enthusiasm to invest has also fallen.

The 100 Australasian respondents, including 10 from New Zealand, are more conservative than their international counterparts.

Nevertheless, 41% of Australasian firms are planning to pursue acquisitions, in line with the global result, with their focus on the Asia-Pacific region.

One thousand executives around the world are surveyed.