Forty-nine percent of investors in Singapore are expecting the economy to grow in the coming 12 months, according to a survey by PwC.
The 2024 Global Investor Survey, which polled respondents who invest in Singapore rank macroeconomic volatility as the top concern at 51%, followed by cyber risks (49%) and geopolitical conflicts (45%).
Eighty-eight percent of investors in Singapore agree that the ability of a company to manage through a crisis is an important factor in their investment decision-making.
Additionally, 60% of respondents who invest in Singapore and globally believe it is also very or extremely important that companies re-think their business models in response to supply chain instability – 71% for Singapore say they should increase their investment to de-risk them.
Investors want companies to invest in both people and AI
The pressure is on for companies to turn AI investment into impact, according to the report as 78% of respondents who invest in Singapore believe companies should deploy AI solutions at scale.
Eighty percent expect the companies they invest in to deliver productivity increases from AI over the next 12 months, with 56% expecting revenue increases and 54% expecting it to increase profitability.
The report also finds that 80% of respondents who invest in Singapore see technological change as the most significant driver of change for the businesses they invest in ahead of government regulation, geopolitics, supply chain instability, and changes in customer preference.
Notably, PwC says investors are also not seeing a trade-off between AI and workers as 84% of respondents investing in Singapore urge the businesses to invest in upskilling their workforce. 29% of respondents who invest in Singapore expect AI to lead to headcount increases of 5% or more, while 36% expect little to no change in headcount.
