Recession is top concern for CEOs worldwide, survey finds

Main executives all over the world have one particular key issue for the calendar year – economic downturn, a survey by nonprofit consider tank The Meeting Board discovered.

That aligns with some administration commentary in Q4 earnings phone calls on Friday. JPMorgan Chase (JPM) mentioned its central situation is for a moderate economic downturn. Also, the Planet Financial institution slashed its worldwide progress forecast as inflation, better interest rates, and geopolitical situations constrain economic exercise.

The Conference Board survey, which polled ~700 CEOs and above 450 other C-suite executives, discovered that fears of a economic downturn or financial downturn ranked as the top external get worried for 2023.

Recession fears intensified from past year’s poll, in which recession was ranked as the sixth external worry. Inflation and better borrowing expenses were between the other major worries for CEOs globally in 2023.

Most CEOs polled by the feel tank expect minimal or no economic advancement for most of 2023. 60% of U.S. CEOs surveyed and 51% of CEOs globally assume growth to resume in their location in late 2023 or mid-2024.

Attracting and retaining talent topped the listing of CEOs’ interior issues for the year amid labor shortage.

“Whilst CEOs globally are seeking to comprise charges, workers may well be ready to breathe a sigh of aid as several executives are turning to layoffs,” said Dana Peterson, chief economist, The Convention Board. “As a substitute, they strategy to mitigate risk by accelerating electronic transformation, pursuing new alternatives in increased-expansion markets, and revising small business products.”

Issues more than COVID-19 have taken a backseat for most CEOs, other than Asian CEOs. It stays the top exterior issue for Chinese CEOs for the second calendar year in a row.

A JPMorgan Chase survey found that most smaller and medium-sized U.S. enterprise leaders count on a recession this yr. But they are additional optimistic about their own firms’ prospective clients than that of the financial system.