An upward trend of the economic climate indicator
in the fourth quarter of 2016
• An improvement in the economic climate index among CEOs was recorded in the fourth quarter of 2016, reflecting the positive perception that CEOs have shaped concerning the current economic situation.
• One out of two CEOs believe that the budgeted Greek growth rates for 2017 and 2018 will be slightly achieved (growth will be around 1.5%). At the same time, four out of ten CEOs believe that a possible early elections announcement will have a negative impact on the implementation of the reforms and on the Greek Economy in 2017.
The general economic climate indicator (ACEO / ICAP-CEO General Index) was formed at 130 units in Q4 2016, as recorded by quarterly research conducted on a sample of 3,020 CEOs/General Managers of the largest Greek enterprises by the Association of Chief Executive Officers (ACEO) in collaboration with ICAP Group. The research was conducted from 16/12/2016 until 31/12/2016.
The general economic climate indicator (ACEO / ICAP-CEO General Index) increased at 130 units in Q4 2016. The rise in the index reflects the positive image that CEOs have shaped for the current economic situation, due to the emerging stabilizing trend of the economy in the second quarter of 2016, despite friction with lenders over disagreements on issues related to reforms agreed upon in various sectors of the economy. Analysis of the results by size class shows the rise of the index in all business categories. The current economic status index (ACEO-Current CEO Status Index) increased and stood at 124 units compared with 115 in the previous quarter. The expectations index (ACEO-CEO Expectation Index) rose slightly to 136 units compared to 134 units in the previous quarter
Statement by The Chairman of the ACEO BoD & ICAP Group Managing Director Nikitas Konstantellos
"The economic climate indicator made a new increase in the fourth quarter of 2016 and stood at 130 units compared to 125 in the previous quarter. The evolution of the indicator reflects the optimism of CEOs who face the adjustment and reform process of the Greek economy, while concerned about the action of opposing forces regarding delays in program implementation, conflicts and unilateral actions outside the agreed framework with the lenders, which remove the economy of the desired objectives. Meanwhile, only 5% of CEOs believe that the projected growth rates for Greece, 2.7% for 2017 and 3.1% for 2018, are realistic. It is therefore worrisome that half believe that growth will be around 1.5% whereas the other half believe than there will be a drawn out stagnation. Moreover, four out of ten CEOs point out that early elections will have a negative effect both on the economy and implementation of the reform program.”