Australia barely made it to the Top 10 of the recently concluded London 2012 Olympics but Federal Treasurer Wayne Swan still rejoices with the fact that amidst the lingering financial difficulties, the domestic economy "is 10 per cent bigger," when pitted against the other developed economies.

Mr Swan told the Parliament on Wednesday that "in recent weeks we have seen more evidence of the outstanding economic performance of the Australian economy," which he labelled as a "gold medal-winning performance."

Such assessments, the Treasurer said, were amply backed by economic indicators that pointed to the better state of the retail sector, which recently was buoyed by improving consumer confidence, and inflation numbers that government data said were at their most ideal levels over the past decade.

The country's employment state as of July 2012 still commands the envy of most of the developed world, Mr Swan noted.

His remarks were made following the National Australia Bank (NAB) report issued on Tuesday, which showed what the Treasurer had termed as a significant lift on business confidence notwithstanding the carbon tax scare campaign pursued by the Coalition.

The NAB report said the index gained seven points by the end of July, which most likely "reflects positive developments in Europe, rate cuts from the RBA (Reserve Bank of Australia) and the passing of the carbon price hurdle on July 1."

The survey also presented an annualised gross domestic product (GDP) expansion rate of 2.5 per cent though NAB noted on its report that the current figures fell short of the long-term target of about three per cent.

Another concern that the report highlighted is the below trend state of the country's business conditions, which were underscored by steep declines seen in July on retailing and wholesaling activities.

Judging from the domestic economy's achievements as of July 2012, NAB said it is likely that growth would reach 3.6 per cent in the current year and 2.9 per cent by next year, predicting at the same time that the RBA will keep the cash rate at 3.5 per cent for much longer time.

"It seems reasonable to expect further stimulus to flow through to interest-rate sensitive sectors of the economy in coming months and quarters ... We see rates on hold until mid-2013, then up moderately," the NAB report said.

But the survey ran in contrast with the sentiments of global firms maintaining business operations in Australia.

According to News Ltd on Wednesday, 60 per cent of the 150 top managers that attended the International CEO Forum in Canberra were generally disappointed with the prevailing uncertain business environment in Australia over the past 18 months.

Major concerns aired by the forum, The Australian said, "were the increase in labour costs, the strong dollar and the relatively low productivity growth over the past decade."

Specifically, company bosses were critical of the manner that the Gillard government has been handling the carbon tax roll out, the complications attached with industrial relations and the proposed tax reforms, the publication said.

These issues or the government's way of tackling them seem to create an uncertain environment that makes global companies somewhat uneasy, the survey said as reported by The Australian.

The report also suggested that 41 per cent of international companies could be thinking twice in making further investments in Australia.

Shadow Treasurer Joe Hockey observed that the latest CEO survey only proved that despite the sterling economic claims by Mr Swan the Gillard Government had actually overlooked "on what really matters for Australians."

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