The advent of a new year brings new hopes, new opportunities and a slew of Outlook reports, which we capture here. The Economist Intelligence Unit’s Industries in 2017 is now available (free with registration).
It covers the following sectors:
- Financial Services
Predictions will be challenging in 2017, given uncertainty around the Trump Presidency and the actual impact of Brexit ex-EU. Trump’s policies could both create growth opportunities (US Infrastructure) and restrict them (Middle East Automotive), possibly at the same time.
Regulatory issues have major impact across all sectors. In retail, EIU sees India overtaking China in terms of growth, partially due to a relaxing environment on investment. In Telecom, the EU will push to a Single Digital Market this year, leading to the end of roaming fees from June 2017. EIU also foresees some possibility of loosening regulation in Financials and Healthcare in the US. That said, healthcare companies will continue to feel the squeeze as countries seek to continue expanding coverage and will face affordability challenges.
Key Reference Points
- Brent Crude to rise to $56.5/barrel (helpful to Russia and Brazil)
- Econ Growth ex-OECD: 4.3%
- Econ Growth OECD: 1.8%
- Econ Growth Overall: 2.5%
- US GDP: 2.3%
- EU Growth: 1.4%
- Ex-US Monetary Policy likely to remain very loose