Business leaders fear trade war
Almost two-thirds of global business leaders see trade war as a very serious global economic risk, according to a new investor survey released in London on Monday by Oxford Economics, one of the most respected financial and economic analysis firms. The firm surveyed 156 large companies worldwide. The companies surveyed employ six million people and have a combined annual turnover of approximately $2 trillion.
The survey, the first global survey of its kind since the election of Donald Trump as US president, found that 65 percent of global business leaders, the largest single group of respondents, see trade protectionism and the possibility of a trade war over the next two years as a very serious global economic risk.
According to a new survey by Oxford Economics, the proportion of companies that also consider geopolitical tensions to be a very serious global economic risk has decreased on average: for example, 20 percent of the companies surveyed had this opinion about the developments in the Middle East crisis. In the previous quarterly survey in October, 60 percent of companies called the Middle East conflict a serious global economic risk factor.
The proportion of companies that also classified the relationship between NATO and Russia as a significant global economic risk has decreased somewhat below the 40 percent shown in the previous survey.
According to the analysis workshop’s survey, however, the general business sentiment has deteriorated: 56 percent of the companies and investment institutions surveyed reported that they were more pessimistic about the growth prospects of the global economy over the next two years than during the previous survey.
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