The confidence chief executive officers (CEO) have in the global economy has hit a five-year low, the KPMG 2025 Global CEO Outlook found.
This come as corporate leaders focus strategic investments in artificial intelligence (AI), talent, and risk resilience to sustain and fuel future growth.
The challenging landscape is prompting a shift in leadership approach, with many adapting their growth strategies to navigate today’s complex world.
Sixty-eight per cent of CEOs are confident in the current trajectory of the world economy – down from 72 per cent last year and continuing a long-term trend of declining confidence.
The annual survey of more than 1 300 global leaders reveals a cautious outlook among CEOs, driven by persistent geopolitical tensions, economic uncertainty, climate challenges, and evolving digital demands.
Raymond Campbell, country leader, KPMG in CARICOM, said that CEOs in the region “are facing similar global challenges, but the impact on our small, open economies is even more pronounced”.
“The report points to the fact that resilience in our region must be built deliberately – through resilient infrastructure, smarter technology investments, stronger talent development, and a deeper understanding of emerging risks,” he said.
“While the CARICOM region may not be investing in AI at the pace of larger markets, the direction is clear.
“To be economically sustainable, and to stay competitive, we must prioritise use of AI and its deployment in all aspects of planning and implementation and develop digital capability, talent, and organisational resilience. Preparedness is no longer optional; it’s a strategic advantage.”
Chris Brome, head of advisory, KPMG in Caricom, said: “For Caribbean organisations, these global trends offer both a warning and an opportunity. As AI adoption accelerates worldwide, our markets cannot afford to be passive observers.
“Even if the pace of investment in the region is more measured, the priority areas are the same – governance, data readiness, and talent.
“This is the moment for regional businesses to lay the groundwork by upskilling their people, strengthening cyber and technology resilience, and building the core digital capabilities needed to compete in an increasingly AI-enabled global economy,” he said.
KPMG said that despite the headwinds, cautious optimism persisted among global CEOs, with a significant majority of leaders focusing on investment in talent to drive a return to growth.
It reported that “92 per cent of CEOs say they’re planning to increase headcount over the next
12 months, while many remain upbeat on healthy earnings growth and remain keen on mergers
and acquisitions”.
Also, 40 per cent of them “forecast earnings increases of more than 2.5 per cent in the coming twelve months, while 89 per cent are predicting merger or acquisition activity”.
Their biggest potential roadblocks to achieving growth remain relatively unchanged from last year, with cybercrime and cyber insecurity (79 per cent), AI workforce readiness or upskilling of workforce on AI (77 per cent) and success integration of AI into business processes (75 per cent) continuing to loom large. (PR/SC)
