Business leaders in western Europe see the risk of cyber attack as a bigger threat than conflict, technical disruption, inflation or climate change.
That’s according to consultancy PwC’s latest “Global CEO Survey”, which was published on Monday at the start of the World Economic Forum (WEF) in Davos, Switzerland.
The report, which surveyed 4,701 chief executive officers (CEOs) across 109 countries, including Ireland, ranked macroeconomic volatility and inflation as the top risks for the year ahead, cited by 29 per cent and 27 per cent of chief executives respectively.
However, there were clear differences in sentiment between regions.
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With conflicts in Ukraine and Gaza, geopolitical conflict was viewed as the top risk by business leaders in the Middle East and in central and eastern Europe.
However, in western Europe, the cyber risk ranked higher than geopolitical conflict and higher than a host of other potential threats. It was only eclipsed in risk echelon by macroeconomic volatility.
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The National Cyber Security Centre confirmed recently that there were 721 confirmed cybersecurity incidents in Ireland in 2023. Microsoft research also reveals that 70 per cent of large Irish companies have experienced problems with phishing, hacking, cyber-fraud or other cyberattacks.
On the whole and despite rising geopolitical tensions, the PwC survey indicates that chief executives are more upbeat about the trajectory of the global economy than they were at the start of last year, with almost 60 per cent saying they expected global growth to increase over the next 12 months, up from 38 per cent last year and 18 per cent two years ago.
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Some 42 per cent also said they expected to increase their headcounts over the next 12 months, more than twice the number expecting to decrease it.
Consistent with the last two years, four in 10 (42 per cent) chief executives believe their company will not be viable beyond the next decade if it continues on its current path. Among those that do not expect to last without significant change, 42 per cent cited “shifts in the regulatory environment” as having the biggest influence on their economic viability.
“This year’s CEO Survey findings highlight a stark juxtaposition – business leaders around the world are optimistic about the year ahead, but also know they must reinvent how they create, deliver and capture value,” PwC’s global chairman Mohamed Kande said.
About 3,000 politicians, business leaders and others – including European Commission president Ursula von der Leyen, Chinese vice premier Ding Xuexiang, German chancellor Olaf Scholz, Ukrainian president Volodymyr Zelenskiy and JP Morgan chief Jamie Dimon – are scheduled to attend this year’s WEF in Davos.
In a hotly anticipated event, US president Donald Trump will address the conference virtually on Thursday. Mr Trump has threatened to impose a ring of tariffs around the US economy, a move that could trigger trade wars with Europe and China.
Irish participation this year is lighter than usual because of the busy political schedule at home with Ministers unable to attend. Former finance minister and Ireland’s new EU justice commissioner Michael McGrath is due to attend.
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