KUALA LUMPUR, Feb 18 —The level of confidence in Malaysia’s  economy rose slightly in the fourth quarter of 2013  but the improvement may be fleeting, according to a survey by the Association of Chartered Certified Accountants (ACCA) and the Institute of Management Accountants (IMA).

The Global Economic Confidence Survey (GECS) report for the fourth quarter of 2013 showed a rise in the number of  respondents saying they are optimistic about the state of Malaysian economy, but crucially, over two-thirds remained pessimistic.

The survey found that  31 per cent  of respondents were optimistic, up 1 percentage point from the previous quarter. Sixty-two per cent were pessimistic, down from 65 per cent previously.

“However, this increase in optimism and dynamism has taken place against the odds and may not survive long,” the report said.

“Respondents in Malaysia reported a substantial tightening in the supply of growth capital, fewer investment opportunities, and, most importantly, a year-long increase in price and exchange rate volatility.”

A total 1,450 ACCA and IMA members from around the world took part in the survey which was conducted between 28 November and 17 December  last year. The GECS bills  itself as the largest regular economic survey of accountants in the world.

The survey showed that 21 per cent of respondents reported increase in business confidence, up from 13 per cent previously.

Fifty-one per cent of respondents said they have lost confidence in their own organisations, down from 56 per cent.

“A combination of rising business opportunities and improved demand and cashflow conditions encouraged Malaysia’s businesses to invest more in capital and staff in the last quarter of 2013,” the report added.

Malaysia’s economy beat expectations to record GDP growth of 5.1 per cent in the last quarter of 2013. Strong exports expected to shield the Southeast Asian country from volatile emerging markets and an expected moderation in domestic demand this year.

Exports rebounded towards the end of the year as a gradual recovery in the global economy spurred more shipments of electronics and commodities, sharply widening the current account surplus in the fourth quarter.