A small survey of senior executives from U.S. business operating in Canada is informing the latest index results from the American Chamber of Commerce in Canada. The semi-annual survey, the results of which are presented in the AmCham-Nanos American Investment in Canada Index, suggests that U.S. business executives’ sentiment regarding the Canadian economy is at an all time low.
Companies represented by the 38 executives surveyed, have total combined global revenues of $1.2-trillion and total combined Canadian revenues of $41.7-billion.
Regulatory uncertainty
The survey found that red tape or regulatory uncertainty was cited as a top concern by 65 per cent of those surveyed. This was followed by concerns about monetary policy, costs, rising interest rates and inflation cited by 50 per cent of those surveyed, and labour shortages noted by 35 per cent of survey respondents. “Nearly 50 per cent of participating U.S. business executives predict the Canadian economy is moving in the wrong direction,” says David Olden, regional president for PNC Bank in Canada and chair of the American Chamber of Commerce in Canada.
The proportion who think the Canadian economy will become even weaker is also at an all time high of 66 per cent since tracking started. Of those surveyed, 42 per cent report an increase in their sales in Canada in the past six months, a decrease when compared to the 58 per cent who said the same in December 2021. Still, 53 per cent expect an increase in their sales in Canada in the coming six months.
