A majority of chief executive officers (CEOs) of India are optimistic about the economy and believe it will grow in the coming 12 months, said a survey by advisory firm PwC on Tuesday.

The 27th annual global survey by PwC has polled 4,702 CEOs in 105 countries and territories, including 79 in India. As many as 86% of CEOs in India are confident that the economy will improve, a 30 per cent increase over the last one year.

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Comparatively, only 44% of the global CEOs believe the economy would improve in their territories. The optimism about the Indian economy is reflected worldwide, with the country becoming the fifth top investment destination for global CEOs compared to the ninth rank in 2023.

At the same time, 62% of business leaders in India told the survey they were “extremely or very confident” about their companies’ growth over the next 12 months. Only 37% of the global CEOs said the same.

They listed inflation and cyberattacks as the biggest threats to their companies in the next 12 months.

“Despite continuing global headwinds, the Indian economy has remained resilient with expectations of a strong growth trajectory in the near future. While India CEOs will indeed play a big role in the country becoming a five-trillion-dollar economy, they will also need to reinvent their businesses and work culture to ensure long-term sustainable success,” said Sanjeev Krishan, chairperson, PwC in India.

“India’s business leaders will need to strategically tackle barriers such as regulatory constraints and lack of tech capabilities to turn them into growth opportunities, which will create lasting value for businesses, society and the environment,” he added.

Notably, as many as 28% of India CEOs regarded cyberattacks as a top threat compared to 18% in 2023.

Recently, the World Economic Forum said over half of chief economists expect the global economy to weaken in 2024, with most saying the pace of geo-economic fragmentation will accelerate.

According to the latest ‘Chief Economists Outlook’ the global economic prospects remain subdued and uncertain. Challenges include tight financial conditions, geopolitical rifts, and the rapid development of generative artificial intelligence (AI).

India’s retail inflation rose to a four-month high of 5.69% in December 2023 due to a rise in food prices, data from National Statistical Office (NSO) had said.

In November, the retail inflation was 5.55% while in December last year, the retail inflation was at 5.72%.

The food inflation came in at 9.53% in December compared to 4.19% in December last year while In november, the food inflation was 8.7%.

According to MoSPI data, the highest inflation was recorded in the food and beverages category at 8.70%.