Canadian CEOs Voice Concerns Over Economic Uncertainty Amid Optimism for Business Growth

Despite slowing economic growth and rising protectionism, corporate leaders remain hopeful about their companies’ future, KPMG survey reveals.

Canadian chief executives are growing increasingly wary about the state of the national economy, even as they express optimism regarding the future prospects of their own businesses, according to KPMG’s latest annual CEO survey. Nearly 60 percent of Canadian CEOs cited economic uncertainty as their most pressing concern, a notable increase from last year. This level of apprehension is slightly higher than the global average, where 53 percent of executives are similarly troubled by the current economic landscape.

The cautious outlook is reflected in weak economic data. Statistics Canada reported that the country’s economy grew at an annualized rate of just one percent in the third quarter of 2024—falling short of expectations and signaling a slowdown. The Bank of Canada is expected to revise its projections on October 23, alongside its next interest rate decision.

Despite these economic challenges, 83 percent of Canadian executives remain confident about their company’s growth over the next three years, though this figure has dipped by six percentage points from the previous year. CEOs of smaller firms expressed slightly more optimism about both their companies and the overall economy, yet they are increasingly concerned about the rise of protectionist policies and trade barriers.

KPMG’s survey, which polled 1,325 CEOs globally (including 75 in Canada), highlights this complex dichotomy of economic caution and corporate optimism. It underscores the uncertain road ahead for Canadian businesses, as they navigate a sluggish economy while maintaining faith in their ability to innovate and grow amidst these challenges.