Most CEOs expect a bleak economic outlook for 2023: PwC survey

Bernama

An overwhelming majority (73 percent) of chief executive officers (CEOs) surveyed expect global economic growth to decline over the next 12 months, a new PricewaterhouseCoopers (PwC) survey launched at the World Economic Forum (WEF) in Davos, Switzerland, showed on Monday.

The "PwC Global CEO Survey", which polled 4,410 CEOs in 105 countries and regions in October and November 2022, also revealed that 40 percent of the CEOs saw inflation as the top global threat, while 31 percent chose macroeconomic volatility, and 25 percent chose geopolitical conflict, the Chinese news agency Xinhua reported.

"A volatile economy, decades-high inflation and geopolitical conflict have contributed to a level of CEO pessimism not seen in over a decade," said Bob Moritz, PwC's global chairperson.

"CEOs globally are consequently re-evaluating their operating models and cutting costs, yet despite these pressures, they are continuing to put their people front and centre as they look to retain talent in the wake of the 'Great Resignation'."

The report also found that nearly 40 percent of CEOs do not believe their organisations will be economically viable in 10 years if they do not undergo significant transformation.

The survey came after the International Monetary Fund (IMF) said last week that 2023 would be another "tough year," but kept its forecast for global growth steady at 2.7 percent.

Changing customer demands and regulation, labour and skills shortages and tech disruption are seen as the biggest challenges to long-term industry profitability, Moritz said.

"The risks facing organisations and society today cannot be addressed alone and in isolation," he said.

"CEOs must therefore continue to collaborate with a wide range of public and private sector stakeholders to effectively mitigate those risks, build trust and generate long-term value for their businesses, society and the planet," he said.

The WEF's annual meeting, themed "Cooperation in a Fragmented World", takes place from Monday to Friday in the Swiss town of Davos.

- Bernama

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