Chief executive officers (CEO) heading into 2026 are increasingly positioning artificial intelligence (AI) and skills transformation as central levers for growth, productivity and competitiveness, even as geopolitical risks, cost pressures and slowing global demand cloud the international business environment.
According to the EY-Parthenon 2026 CEO Outlook Report, sustained transformation has become the defining factor separating leaders from laggards in an increasingly volatile economy.
While global inflation is easing, the report notes that price pressures remain uneven, with tariff-imposing economies facing higher import costs and renewed inflation risks. Targeted economies are experiencing weaker demand and commodity-driven disinflation.
“2026 is not going to be a year of certainty, and CEOs know this,” said Andrea Guerzoni, global vice chair at EY-Parthenon, noting that technology-led mergers and acquisitions are increasingly being used to accelerate transformation and build resilience.
Despite these pressures, CEO confidence remains resilient in two key areas: technology and talent. The report shows that business leaders remain confident in their ability to attract and retain skills, reflecting more mature hybrid work models, clearer employee value propositions and continued investment in workforce capabilities.
Confidence in emerging technologies, including AI, automation and advanced analytics, also remains strong, driven by their potential to lift productivity, improve customer experience and strengthen long-term competitiveness.
The report identifies three priorities for CEOs navigating the year ahead: tighter cost discipline through productivity-enhancing investments such as AI; sharper, insight-driven pricing to protect margins; and a faster shift toward skills-powered organisations capable of scaling technology and managing macroeconomic volatility.
Although global CEO sentiment declined quarter-on-quarter from 83.0 to 78.5 due to weakening demand, the report notes that optimism remains high.
Also, nearly 90 percent of CEOs expect increases in revenue, profitability and productivity, betting that operational efficiency and strategic investments in people and technology will offset external pressures.
Transformation is now firmly embedded in corporate agendas. The report shows that 52 percent of CEOs are currently undertaking major transformation initiatives, while 45 percent plan to begin one in 2026.
Operational optimisation, customer engagement and product innovation dominate priorities, with AI increasingly moving from pilot projects to enterprise-wide deployment.
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Additionally, 20 percent of CEOs reported that returns from AI investments exceeded expectations, reinforcing the shift toward treating AI as a multi-year strategic pillar embedded in capital allocation, workforce planning and operating models.
For West Africa, Anthony Oputa, EY regional managing partner, said slow and fragile global growth would force tougher investment choices, with AI experimentation giving way to targeted scaling focused on productivity, decision-making and customer value.
“In terms of AI, broad experimentation is giving way to targeted scaling — identifying the business units where AI can accelerate productivity, transform decision-making, or unlock differentiated customer value,” he said.
Overall, the report signals a structural shift in how companies pursue growth: moving from isolated technology to integrated AI-driven systems that reshape workflows, augment human capability and help firms create momentum despite an uncertain global outlook.
