target=”_blank”>Global Regus Business Confidence Index has revealed a 21-index point decrease in East Africa’s business confidence level.

According to the report, East Africa business confidence dipped from 151 points in September 2011 to 130 points this month.

The research company calculates the index using an aggregate of positive and forward looking statements; year-to-date revenue and profit trends with view on the unexpected economic upturn in the coming months.

The report, which surveyed a total of 230 respondents from Kenya, Uganda and Tanzania, indicated that 76% find unnecessary office space a major hurdle facing companies while 48% believed it is redundancy in permanent staffs.

The respondents believe that increasing the use of pay-as-you-go business service, as a more flexible workspace, will reduce corporate distress. Also, increasing cloud I.T application is seen as another area where companies could best make savings without damaging growth prospects.

The report came at the heel of the World Bank Doing Business Report that indicated a growth in the East Africa business environment.