Doha, Qatar: Middle East CEOs are optimistic about revenue growth, but almost half of CEOs don’t believe their business will be economically viable a decade from now if they don’t transform in the face of technology disruption and climate change.
That is according to PwC’s 27th Annual CEO survey capturing insights from 4,702 executives across 105 countries.
73 percent of CEOs in the Middle East, and 81 percent of GCC CEOs, expect regional economic growth to improve in the coming year, far outpacing their global counterparts (44 percent). This has translated into 66 percent of Middle East CEOs expecting significant increases in their revenues over the next three years, with 65 percent of CEOs in the Middle East expecting to increase their headcount in 2024.
The survey has also revealed that geopolitical conflict, along with inflation, and cyber risks are the key threats topping regional CEO’s risk ageIn response, CEOs are reinventing their businesses, with more than half focussed on diversifying their products and services, and for two thirds, tech innovation is a priority area for the next three years.
Commenting on this year’s survey, Hani Ashkar, PwC Middle East Senior Partner, said: “The past year served as a transitional period for the global economy. Despite slower global growth rates, the Middle East has displayed resilience, as countries have accelerated digital transformation and strengthened their non-oil sectors, creating employment opportunities.
He added: “Businesses in the Middle East are proactively evolving through advanced technologies, including GenAI, and displaying a greater awareness of issues, such as climate change.
Generative AI: The launch of advanced large language models, such as Falcon and Jais in the UAE position the Middle East at the forefront of developing and harnessing Generative AI and regional CEOs are embracing the technology. 73% of CEOs in the region believe GenAI will significantly change the way their company creates, delivers and captures value in the next three years.
A quarter of the regional CEOs expect that GenAI will result in job creation in the next 12 months, 77 percent believe that it will improve work efficiency and 63 percent anticipate increased revenue on the back of its adoption. 38 percent of our CEOs believe embracing GenAI will give them a significant competitive edge and almost half indicated they have already changed their tech strategy to leverage its opportunities.
Bassam Hajhamad, Qatar Country Senior Partner and Qatar Consulting Lead at PwC Middle East, added: “Our CEO survey results for Qatar show strong confidence and optimism, with many opportunities ahead across key priority areas.
Our CEO survey also reveals that Qatar and the region are demonstrating their appetite for impactful transformation that will lead to long-term growth and more resilience. CEOs expect GenAI to enhance their ability to build trust with stakeholders and significantly improve the quality of their products and services.”
