Only 26 per cent of Middle East CEOs expect global growth in the next year
Not much has changed after the world caught in a whirlwind of economic turbulence last year but business confidence is picking up surely albeit slowly, as evidenced by the growing optimism among those who steer the private sector.
While CEOs around the world feel they have plenty to worry about in the year ahead, confidence in their own growth prospects and their outlook for their respective economies are back on the rise, reveals a recent survey by accountancy firm PwC.
This is particularly true for Middle East CEOs, as conversations with them reveal very positive projections for their businesses, says the London-headquartered firm.
PwC’s Annual Global CEO Survey of 1,300 chief executives from 79 countries finds that 38 per cent of CEOs worldwide are very confident about their company’s growth prospects in the next 12 months. This compares with 35 per cent in 2016.
Furthermore, 29 per cent of those at the helm of companies believe that global economic growth will pick up in 2017. Last year it was 27 per cent.
The survey, in which more than 50 CEOs in the Middle East responded, however, says that top executives in the region, though confident, are playing a cautious hand when it comes to growth strategies, avoiding more speculative new ventures and refocusing on core capabilities and securing growth with tried and tested partners and exit strategies.
“Despite uncertain times, Middle East businesses are as ambitious as ever; they have proved resilient in times of change and our survey shows that though treading with caution, they are certainly confident about the direction their businesses will take in the years to come,” says Hani Ashkar, Senior Partner, PwC Middle East.
In fact, 38 per cent of Middle East respondents are very confident about their company’s prospects over the next 12 months (2016: 34 per cent) and as many as 60 per cent have the same degree of confidence over the next three years – by far the highest of any region, the survey finds.
Meanwhile, 88 per cent of CEOs in the region are confident about their company’s prospects for revenue growth over the next 12 months.
The improving confidence has a positive impact on job creation as 56 per cent of the region’s respondents. The regional figure compares with an average of 52 per cent CEOs globally who expect to increase their headcount over the next year.
Read more: http://ameinfo.com/money/economy/global-execs-positive-middle-east-ceos-cautious-2017-heres/