India Inc. optimistic for economy ahead of Budget 2022 despite COVID-19, finds PwC Annual Global CEO Survey

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Despite various headwinds, India Inc. on the whole is “significantly optimistic” about economic growth. A majority of them feel the economy is set to improve over the next 12 months despite COVID-19 related problems and global headwinds, the PwC Annual Global CEO Survey found.

The Survey spoke to 4,446 global CEOs in 89 countries and territories, including 77 from India, in October and November of 2021.

It found that 99 percent CEOs in India are optimistic about India’s economic growth in the coming year; while 94 percent of Indian CEOs and 77 percent of global CEOs are optimistic about world economy improving.

“The vigour with which most Indian business leaders took the challenges brought in by the pandemic head on, coupled with the will to emerge stronger in the face of adversity, has led to sustained growth for businesses in India,” Sanjeev Krishan, Chairman of PwC in India said.

–– 98 per cent of CEOs are confident when it comes to revenue prospects of their own companies over the next 12 months and even the next three years.

–– Indian CEOs are more optimistic (94 percent) compared to last year (88 percent) about prospects for economic growth in 2022.

–– 70 percent of India CEOs viewed the pandemic as a top threat to growth while 62 percent considered cyber threats as an impediment to growth in 2021.

–– Sanjeev Krishan, Chairman of PwC in India noted that while Omicron variant of COVID-19 has cast a shadow, CEOs are” focused on the health and safety of their employees”. He added that their confidence and optimism over the past one year is a “testimony to the resilience of Indian companies”.

–– This year, 15 percent Indian CEOs are apprehensive about cyber risks hindering their company’s ability to raise capital.

–– India CEOs agree that cyber risks could cause severe revenue disruptions, with 64 percent fearing a breach could hinder sales of products or services.

–– Besides business disruptions, 47 percent of chief executives believe cyber threats could impede their ability to develop products and services.

–– Among the India companies that participated in the survey, 27 percent already have a net-zero commitment (compared to 22 percent globally) in place, while 40 percent are in the process of developing and articulating their commitments (29 percent globally), and only 30 percent have neither made nor are in the process of making any net-zero commitment (globally 44 percent).