European Business Prospects Positive Despite Brexit -Surveys
20 November 2017 - 9:05PM
Dow Jones News
By Euan Conley
Europe's business outlook is upbeat despite uncertainty around
Brexit, according to two surveys of investors and chief
executives.
Chief executives of major European companies are confident about
business prospects, with 79% saying they feel "positive" or
"somewhat positive" about the business outlook. In a survey
conducted by the Centre for European Economic Research for the
European Round Table of Industrialists, or ERT, a majority of
business leaders said they expected an increase in their companies'
sales over the next six months.
They expressed concern on Brexit and said an effective
transition period was necessary to provide certainty. The U.K. is
scheduled to leave the European Union in March 2019 but
negotiations have snagged on issues that must be resolved before
the EU will discuss economic relations.
"Businesses will soon be actively planning for 2019 and both EU
and UK businesses need a predictable pathway within the next three
months if investment decisions are not to be materially impacted,"
the ERT said.
Meanwhile, an Ipsos Mori poll of 360 investors from companies in
France, Germany, China, the U.S. and U.K. found that 60% believe
investment in Europe will rise over the next five years.
Most bullish on the region were investors in China and the U.S.,
with 90% of Chinese investors and almost three-quarters of their
U.S. counterparts predicting a boost. German investors were most
pessimistic: Less than a third surveyed said they thought European
investment would rise, compared with 38% who disagreed.
Ipsos Mori found the appetite for international investment
undiminished, with almost three-fifths of Chinese investors saying
they were more likely to invest in the U.K. due to Brexit. Just
over half of French investors said they were less likely to invest
in the U.K., while the figure in Germany was 55%.
Ipsos Mori's poll was commissioned by Invest Europe, a trade
association.
Write to Euan Conley at euan.conley@dowjones.com
(END) Dow Jones Newswires
November 20, 2017 04:50 ET (09:50 GMT)
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