The confidence level of chief executives worldwide about growth prospects of their own companies has fallen but Indian CEOs are among the most confident, says a new survey.
India has also become one of the five most promising overseas markets for the businesses globally, according to the annual global CEO survey of consultancy giant PwC released here at the WEF Annual Meeting.
The confidence level among Indian CEOs remains higher than the global average although they have also become less confident since last year about the growth prospects of their own companies.
As per the findings, CEOs are less optimistic about prospects this year and those who think global growth would improve over the next 12 months have declined to 27 per cent from 37 per cent seen in 2015.
Further, those who think the situation would worsen have increased to 23 per cent from 17 per cent.
Confidence in businesses’ own revenue growth for the next 12 months has fallen with only 35 per cent feeling ‘very confident’ compared to 39 per cent last year.
"Against this tide of pessimism, CEOs in India (64 per cent), Spain (54 per cent) and Romania (50 per cent) stand out as more optimistic," it said.
PwC India Chairman Deepak Kapoor said CEOs in India have given strong indication of general uplift in sentiments by showing much more confidence than their global counterparts when it comes to revenue growth for their companies.
"Recent policy reforms and a consequent pick up in investment and the government’s aim to boost infrastructure are also playing a role in boosting CEO confidence," he noted.
However, Kapoor said the CEO community continues to be concerned by lack of infrastructure and over-regulation.
"With India as the fastest growing large economy in the world, it offers one of the best opportunities for both Indian and global companies in a world that is still coming to terms with a slower growth paradigm and increasing geopolitical uncertainty," he added.
While it has become more difficult to pin down where growth would come from, the survey said the US, China and to a lesser extent Germany and the UK, remain the countries that most CEOs cite as among their top overseas growth markets.
The top five markets considered as most important for overall growth prospects by the respondents are the USA, China, Germany, the UK and India.
"India, which has continued to do well under Prime Minister Narendra Modi’s pro-business government, is now among CEOs’ five most promising overseas markets," it noted.
The survey covered 1,409 CEOs spread across 83 countries.
As many as 476 interviews were conducted in Asia Pacific, 314 in Western Europe, 170 in Central and Eastern Europe, 169 in Latin America, 146 in North America, 87 in Africa and 47 in the Middle East.