Do Operational Economic Risks Outweigh Growth Prospects?

Recapping the Q2 2017 Global Economic Outlook Webinar

Despite the rocky start to 2017, the global growth outlook and forecasts for the year are more optimistic than expected. We are seeing a new beginning for business growth and new hope for the globalized economy. But, beneath the positive motion, the international economy’s transition to the ‘new normal’ is underpinned by systemic and exogenous risk in the global environment.

We recently uncovered the top 5 global economic risks for business leaders to monitor in 2017:

The Top 5 Global Economic Risks of 2017

  1. Global Trade Policies
  2. Geopolitical Risks
  3. US Political Divergence
  4. The Impact of Oil Prices and OPEC
  5. Expectations of Soft Data vs. the Reality of Hard Data

Exploring the Market Impact of Economic Risk

Dun & Bradstreet’s team of economists recently dived deeper into some of the top risks by exploring their impact on key regions, countries, and markets in our Global Economic Outlook Webinar. The following are some of ways that the top global risks are impacting key regional economies:

Risks in North America, Pan Regional, Asia Pacific

  • The imposition of a border adjustment tax on US imports may lead to formal protests and possible backlash from America’s largest global trade partners.
  • Rapidly growing cyber-dependence and connectivity may lead to more damaging cyber incidents, with global ramifications.
  • In China, contagion from bad debts in industry and local government triggers a sharp economic slow-down.

Risks in Latin America, Western Europe, MENA, EECA

  • The widening investigation into the Odebrecht bribery scandal may result in substantial losses for foreign partners/contractors from cancelled worldwide infrastructure projects
  • Parliamentary elections in Italy end with the victory of anti-EU parties, triggering further pressure on the EU.
  • Success of the authorities in combatting Islamic State in Iraq and Syria and attacks in the Middle East and Europe is leading to disruption to the business environment.

As the global business environment remains challenging and developing risks unfold, there are also new opportunities for companies in this new economy. For further insights on the top economic risks, view a copy of the slideshow presentation below:

View the Presentation