THE rate of decline of Scottish companies' overall turnover eased in the three months to February, but export activity declined at a faster pace, a survey published by Bank of Scotland signals.

The bank's Business Monitor, published today, shows 29% of firms in Scotland achieved an increase in turnover in the three months to February and 34% experienced a decrease, with the remainder reporting an unchanged position.

This gives a balance of 5% of firms reporting a decline, signalling an overall slide in turnover.

However, the fall signalled by the survey, which is run by Strathclyde University's Fraser of Allander Institute, is less steep than that indicated by the net 10% reporting a fall in turnover in the previous quarterly monitor.

Donald MacRae, chief economist at Bank of Scotland, interpreted the results as showing a "slight relaxation" in the "stagnation" of the economy north of the Border which had been seen last autumn.

The survey results highlight the challenges facing the Scottish economy, ahead of official data due later this month which will show whether or not the UK as a whole recorded its third recession since 2008 in the first quarter of this year.

The monitor signalled another fall in the overall turnover of Scottish services companies.

The net 9% of firms in this dominant sector of the economy reporting a fall in turnover in the latest monitor signalled a slowing of the rate of decline, with a balance of 16% having reported a drop in sales in the previous quarterly poll.

The survey signals another marginal rise in overall turnover of Scottish production companies, with a balance of 2% of firms in this sector reporting an increase in sales.

A net 5% of Scottish companies reported a fall in export activity in the three months to February. This points to a slightly faster fall than the balance of 3% reporting a decline in export activity in the preceding three months.

Scottish companies' expectations of turnover on a six-month view have improved.

A net 1% of Scottish firms expected turnover to rise over the next six months. In the previous quarterly survey, a balance of 5% of companies had forecast a decline in turnover on a six-month view.

Mr MacRae said: "The Scottish economy stagnated during autumn 2012. This latest Business Monitor suggests a slight relaxation in that stagnation. Despite the apparent poor performance in autumn, business expectations for 2013 have improved from a low position.

"A return to more vigorous growth in the Scottish economy awaits a further increase in confidence in both consumers and businesses.

"This in turn depends upon building on policy measures to contain the eurozone sovereign debt crisis and implementing policies to restore the eurozone and UK economies to growth."