CEOs' confidence drops amidst inflation, supply chain issues: survey

This drop contrasts with a rise in global CEO confidence, which has increased to 73.5% from 70.5% in late 2024.

Confidence among Singapore's chief executive officers (CEO) dropped to just 54% in March 2025 from 72% in September 2024 amidst rising prices and inflation, according to EY.

This drop in local CEO optimism contrasts with a rise in global CEO confidence, which has increased to 73.5% from 70.5% in late 2024.

Whilst global leaders remain optimistic despite ongoing geopolitical tensions, technological changes, and sustainability challenges, Singapore’s CEOs are grappling with the pressures of a high-cost environment and supply chain disruptions.

Despite the grim outlook, transformation remains a key priority. EY said more than half of Singapore’s CEOs (56%) expressed confidence in their ability to successfully reimagine their business models for future growth, although 44% acknowledge that they may fall short of their transformation goals.

Strategic investments in people and technology are deemed crucial for long-term success. However, with declining profitability, 55% of Singapore CEOs (and 42% globally) anticipate workforce reductions in the year ahead.

The appetite for mergers and acquisitions (M&A) amongst local CEOs has cooled, with only 40% planning to pursue M&A activity in the next 12 months, down from 48% six months ago. Despite this, a vast majority (98%) still expect to engage in various transaction initiatives, including divestments and joint ventures.