This week, Business at OECD (BIAC) released its 2023 Economic Policy Survey. This annual flagship publication gathered valuable insights from 33 national business and employer organizations, representing an astounding 97% of the GDP of all OECD countries.
Our key findings reveal cautious optimism by business despite the tumultuous year marked by Russia’s unprovoked, illegal war against Ukraine. This year’s edition shows notable improvements from last year: In 2022, only 10% of respondents regarded the business environment as “good” - the number increased to 57% this year.
Yet, there is significant concern about the repercussions of the war and escalating geopolitical tensions, with 60% citing these tensions as major risks to global economic growth. However, concerns around supply chain disruptions have declined over the past year. Apprehensions about energy prices remain high, with 92% of our members citing it as a major worry in 2023. Other areas of concern include inflation and labor shortages.
In terms of structural reform priorities, we’ve observed a seismic shift. The focus on green transition has dramatically increased from 40% in 2022 to 80% in 2023. This underscores the urgency for structural reforms to support green transition in light of the energy crisis. Other top priorities include the digital transition and migration policy.
To conclude, our survey illustrates a thread of cautious optimism running through the challenges. This cautious optimism, coupled with an awareness of emerging trends and pressing concerns, underscores the resilience and adaptability of the business community.