The latest National Australia Bank (NAB) monthly business survey has revealed that, presently, the businesses are more confident about the economy, than they were two years ago.

A rise in the NAB survey measure of confidence was seen by six points to reach plus-10 points in July, the highest level recorded since August 2007.

The result of the index is decided by the views of the respondents on trading, profits and employment; and an improvement was seen in all the three categories in July, raising the overall business conditions index into the positive territory for the first time since the beginning of 2008.

The figures were described as "encouraging" by NAB chief economist Alan Oster.