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ICAP: Rise of Economic sentiment index
• Rise of Economic sentiment index among CEOs was observed in the 3rd quarter of 2017, reflecting the positive expectations of CEOs for the course of the Greek economy.
• Six out of ten CEOs believe that the probability of a new recapitalization of banks is modest, while with the same ratio, the Greek economy is barely open to foreign investments. At the same time, four out of ten CEOs believe that the post-2018 supervisory status will have a positive impact on the economy and only one in four believes the opposite.
The overall economic sentiment indicator (EASE / ICAP-CEO General Index) increased to 147 points in Q3 2017, as investigated by the quarterly survey conducted on a sample of 3,020 CEOs / General Managers of the largest Greek companies by the Association of Chief Executive Officers (EASE) in cooperation with ICAP Group. The survey was carried out between the 14th and 26th of September 2017.
The overall economic sentiment indicator (EASE / ICAP-CEO General Index) increased to 147 points in the 3rd quarter of 2017. The significant improvement of the index is due to the positive expectations of CEOs for the Greek economy, which are based on the established belief that the uncertainty in economic and political developments is reduced under the condition of the wider acceptance that the reforms agreed upon with lenders is the only way to return the economy to growth rates. The analysis of the results by size shows a significant increase in the index in all categories of enterprises. The current status index (EASE-CEO) recorded a remarkable rise and stood at 140 points, compared to 121 in the previous quarter. The Expectation Index (CEO Expectation Index) has risen to 154 points from 145 points in the previous quarter.
Statement of EASE President & Chairman & CEO of ICAP Group Nikitas Konstantellos: The economic climate index in the third quarter of 2017 continued its upward trend and stood at 147 points against 133 in the previous quarter. The significant improvement in the indicator is due to the positive expectations among CEOs regarding Greece's commitments to implement the reform program, the implementation of which is a prerequisite for the recovery of the Greek economy. Six out of ten CEOs believe that there is a moderate likelihood of new bank recapitalization, while at the same time they confirm that Greece is, unfortunately, minimally receptive to foreign investment, which, under the current conditions of limited domestic capital available, is an important outlet and opportunity for the country's future growth. An important finding is, also, that four out of ten CEOs (most likely because they have no confidence in the Greek political system) believe that continuing the supervision after the completion of the program in 2018 will have positive results for the Greek economy.