Only 1 out of 3 Asian CFOs are worried over risks of political change in the region

Surprisingly, most see it as an opportunity.

According to BofAML's 2014 CFO Outlook Asia, to a surprising degree CFOs in Asia see political change in 2014 less as a risk than an opportunity.

Several major political shifts are afoot in the region, starting with the national elections in India this year. Indonesia faces a change of president.

Here's more:

China’s government, meanwhile, is only a year into the term of the fifth generation of Communist Party leaders. The Bo Xilai scandal that culminated in a showcase trial in 2013 was the precursor of a thorough and on-going anti-corruption campaign, embroiling foreign and local companies alike.

Nonetheless, across the region just 13% are worried that political change in their home countries will have a negative impact on their business this year; 38% expect a positive impact.

Political risk is shrugged off in Thailand (where just 10% are worried), while majorities in Indonesia (57%) and India (53%) are optimistic about the impact of this year’s elections.

In China some 89% of CFOs feel that political change will either have no impact (61%), slight positive impact (27%), or major positive impact (1%) on their businesses this year.

The results in India reflect generally positive business opinion about this year’s national election—with Narendra Modi, the front-runner to become prime minister, lauded for the economic achievements seen in Gujarat during his tenure as chief minister of the state.

Optimism also surrounds the candidacy in Indonesia’s presidential election of Jakarta’s popular governor, Joko Widodo. Thailand, meanwhile, is amid a fractious challenge to the nation’s government that has been disrupting daily life in Bangkok for months.

In that country a full 90% believe that political change will have either no impact (52%), a slight positive impact (19%) or a major positive impact (19%) on their business this year.

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