DATA DIGEST

The Economist Intelligence Unit Report 2015 - Financing the Fragile Economic RecoveryFinancing the Fragile Economic Recovery

25

15

15

25

25

25

25

2020

10

10

10

75

We surveyed 300 corporate treasury and finance executives about how they are traversing new risks and growth opportunities

EIU Report 2015: Participants

Consumer goods

13%Financial services

11%Construction & real estate

8%Retail6%

Healthcare, pharmaceuticals & biotechnology

5%Transport, travel & tourism

5%

LocationsSectors included

Currency, regulatory and inflation risks, and sluggish growth are the biggest worries

Other concerns: Currency risk 38% Regulatory risk 36% Inflation risk 32%

growth was their main concern

59% of respondents said sluggish

weak recovery is seen as

the new normal

With real GDP growth in the

28 EU countries at just 1.4% in 2014

EIU Report 2015: Concerns

Many treasurers said they view all of these risks as an “inherent part of doing business”

What are executives spending most of their time on and how do their views on different regulations stack up?

2/3spend a very or fairly large

amount of time on regulatory compliance but this is generally positive

Is this time well spent?

75%of EMEA

respondents say “yes” for the Payment

Services Directive

76%of EMEA

respondents think time spent on

EMIR is worth it

70%of American

respondents think time implementing Dodd-Frank is well spent

16%of all respondents

believe Solvency II is worth the time and

costs of implementation

EIU Report 2015: Activities

“If [increased regulation] means the industry becomes more disciplined and takes more care of the risks we have, then on the

whole that is a good thing” Richard Garry, Group Treasurer, IMI plc

Treasury departments are struggling to meet KPIs

How are roles changing?

BUTsay leadership teams are increasingly consulting

them on strategy

73%don’t think their treasury

departments have the time or resources to fulfil these new responsibilities

56%

EIU Report 2015: Roles and responsibilities

“I haven’t heard many [treasurers] say they are getting more staff or budget” David Blair, Managing Director, Acarate

do not feel equipped to achieve a lowcost of financing

73%do not have the time and

resources for effective risk management

do not have the time and resources to build good relationships with banks

72%78%

Technology is helping to improve:

EIU Report 2015: Technology

57%53%

34%

Decision-making

Data quality

Cost-cutting

61%It’s not a big enough priority

66%

Think it will reduce reliance on banks

Some companies think partnering is risky

62%

But for some...

But...

Partnering with FinTech firms is a big talking point

Investment in technologywithin treasury departments

is expected to continue forthe next 12–24 months

1/3 of respondents expect to make heavy

investments in technology