The crisis in the eurozone, the sluggish economy in the United States and the slowing expansion in China have taken a toll on the confidence of CEOs in the Asia-Pacific region. Results of survey by PricewaterhouseCoopers released ahead of the Asia-Pacific Economic Cooperation (APEC) summit later this week shows that only 36% of executives feel "very confident" of business growth over the next 12 months. However, 54% of them said they have a high level of confidence for the next three to five years.
The survey showed that the top economic risks to growth were a surge in oil prices to above US$150 per barrel, a recession in the United States, the breakup of the eurozone and the slowing of China's growth to below 7.5% of gross domestic product. A major disruption of the Internet and a pandemic or natural disaster were also of concern.
CEOs in the Asia-Pacific region said China and the United States were their dominant targets for investment over the next three to five years. Russia, Indonesia, Australia, Hong Kong and Japan were also cited as top draws for investment.
Also, more than three-quarters of Asia-Pacific executives indicated their organizations were using green technology to increase efficiency. More than half said they were adopting water conservation techniques. To manage power usage and costs, 27% said they plan to generate their own power with renewable energy in the next three to five years.
Filed under: 24/7 Wall St. Wire, China, Economy, International Markets, Research