As global economies grow in sync for the first time in a decade, optimism surpasses uncertainty when it comes to private companies’ expectations and investment plans, Deloitte Private said in a report on Monday.
The report, “Global perspectives for private companies: Plans, priorities, and expectations”, said two-thirds of private company executives across the globe believe their revenues will rise in the year ahead.
Surveying almost 1,900 executives in 30 countries, the majority of respondents expect revenue, profits, productivity and capital investments to increase in the coming year.
Additionally, 45 per cent expect to hire more full-time employees.
Despite these expectations, 53 per cent of respondents perceive a greater level of uncertainty around their future business prospects.
“The optimism of private companies worldwide reflects an economic alignment taking hold for the first time in years,” said Mark Whitmore of Deloitte Canada.
“In the face of increased uncertainty, private companies seem to be leveraging their inherent agility to gain a competitive edge.”
While private companies are similarly optimistic across the globe, reflecting current levels of global interconnectivity, the survey revealed some differences in top risks to growth across different regions.
For instance, respondents in the Americas expressed concern about the uncertain economic outlook in their home countries, while respondents in Europe, the Middle East and Africa point to hiring as a top challenge, and Asia-Pacific respondents identified raw material costs as a barrier to growth.