Asia's CFOs pessimistic about economy: Survey

Asia's CFOs pessimistic about economy: Survey

Agence France-Presse, Singapore

Company chief financial officers (CFOs) in Asia are more
pessimistic about the short-term prospects for the global economy
than their counterparts in Europe and the United States, a
regional survey showed.

The survey by CFO Asia magazine, which is published monthly by
the Economist Group, said 94 percent of CFOs in Asia "are
pessimistic about the global economy". It did not give
percentages for the European and American executives.

"The trend started with the first signs Western consumers
might be cutting back on their spending," said Carla Rapoport,
CFO Asia managing editor.

"Now, the blow dealt to the already weakening global economy
by the September 11 (terrorist) attacks in the U.S. has sent CFOs
into a survival mode," she said.

About 22 percent of Asian CFOs also cited increasing
competition as a "major concern" and nearly 50 percent of them
said they plan to spend more in the coming year to make them more
competitive, said the statement received here at the weekend.

More than 50 percent of Asian CFOs said they expect profit to
be down by more than 10 percent coming quarter and 85 percent
were either concerned or pessimistic about the regional economy
next year, it added.

However, more than 85 percent said they were optimistic in the
longer term, according to the survey which did not give details
of the number of respondents involved.