Logo of Phnom Penh Post newspaper Phnom Penh Post - Inflation emerging as major worry for global CEOs, new survey says

Inflation emerging as major worry for global CEOs, new survey says

Content image - Phnom Penh Post
Inflation has jumped as a major concern for global CEOs, with many seeing the issue persisting into 2023. AFP

Inflation emerging as major worry for global CEOs, new survey says

As prices have surged, inflation has soared as a worry for global executives, overtaking concerns about Covid-19 disruptions in some regions, according to a survey released last week.

In a “seismic shift”, inflation now ranks second on the list of top external concerns after labour shortages, up from 22nd last year, according to the survey by the Conference Board of some 1,600 global CEOs and C-suite executives.

More than half, or 55 per cent, of the group expect to see price pressures through mid-2023 or beyond, the survey said.

US consumer prices in 2021 rose at the fastest pace in four decades, according to government data released last week. However, consumer price index (CPI) growth slowed last month from November, indicating the price surge may be nearing a peak.

That slowing also was reflected in producer price data for December released last week which showed falling prices for energy and food.

The Conference Board noted that many organisations have workforces that “likely never experienced inflation’s broad influence on product pricing and sourcing decisions, customer relations and cash management, and above all, on wages”.

Firms will have to cope by “cutting costs, passing increases downstream to consumers … and absorbing price increases into profit margins”, the report said, adding that few see changing vendors as a viable alternative.

US Federal Reserve (Fed) chair Jerome Powell had initially described pricing pressures as the result “transitory” supply chain problems that were expected to ease relatively quickly.

But he has backed off that characterisation as inflation pressures have persisted, and the Fed is preparing to raise interest rates this year to tamp down rising prices.

Inflation ranked as the top concern among European CEOs, but fourth in China and outside the top 10 in Japan. In both China and Japan, Covid-19 related disruptions ranked as the top worry.

MOST VIEWED

  • Joy as Koh Ker Temple registered by UNESCO

    Cambodia's Koh Ker Temple archaeological site has been officially added to UNESCO’s World Heritage List, during the 45th session of the World Heritage Committee held in Riyadh, Saudi Arabia, on September 17. The ancient temple, also known as Lingapura or Chok Gargyar, is located in

  • Famed US collector family return artefacts to Cambodia

    In the latest repatriation of ancient artefacts from the US, a total of 33 pieces of Khmer cultural heritage will soon return home, according to the Ministry of Culture and Fine Arts. In a September 12 press statement, it said the US Attorney’s Office for the

  • Tina rebuffs ‘false claims’ over falling paddy price

    Agriculture minister Dith Tina has shed light on the trade of paddy rice in Battambang – Cambodia’s leading rice-producing province – in a bid to curb what he dubs a “social media fact distortion campaign” to destabilise the market. While acknowledging that the prices of paddy

  • Cambodia set to celebrate Koh Ker UNESCO listing

    To celebrate the inscription of the Koh Ker archaeological site on UNESCO’s World Heritage List, the Ministry of Cults and Religion has appealed to pagodas and places of worship to celebrate the achievement by ringing bells, shaking rattles and banging gongs on September 20. Venerable

  • Kampot curfew imposed to curb ‘gang’ violence

    Kampot provincial police have announced measures to contain a recent spike in antisocial behaviour by “unruly’ youth. Officials say the province has been plagued by recent violence among so-called “gang members”, who often fight with weapons such as knives and machetes. Several social observers have

  • PM outlines plans to discuss trade, policy during US visit

    Prime Minister Hun Manet is set to meet with senior US officials and business leaders during his upcoming visit to the US for the UN General Assembly (UNGA), scheduled for September 20. While addressing nearly 20,000 workers in Kampong Speu province, Manet said he aims to affirm