A survey by ANZ Banking Group revealed small business in rural areas are outperforming their capital city counterparts. The survey records April sales trend for regional and rural small businesses rose by 1.9 per cent. In capital cities, there is a small drop of 0.1 per cent. This reflects the two-speed nature of Australia’s economy, with rural small businesses benefiting from the resource boom. On the other hand, small business owners in capital cities are restricted and impacted by Reserve Bank’s monetary policy.
This data is based on the value of credit and other automated transactions processed by ANZ. The banking group holds about 20 per cent of all card transaction.
In other news, Australian.com.au also reported a surge in April retail sales amidst critics’ doubts of whether the industry will cope, especially after news of Australia’s economy contraction for first quarter of 2011.