TrendLetter Volume 1 2014.Does the current economic situation affect business travel?
Global economy slowly on the rise
The International Monetary Fund (IMF) predicts only a slow increase in GDP growth for 2014.According to the IMF’s most recent World Economic Outlook1, global GDP is expected to grow by 3.6 per cent in 2014 – ahead of 2013 projections (2.9%), as well as 2012 results (3.2%), but lagging behind 2011 (3.9%).Emerging and developing economies will see substantially higher growth than advanced economies in 2014 (5.1% compared to 2.0%), with developing Asia driving growth with expectations of 6.5% (China 7.3%, India 5.1%, ASEAN-52 5.4%). Of the advanced economies, the United States is expected to grow faster than the Euro area (2.6% compared to 1.3%).
Does the economic situation affect business travel?
Globally, the majority of the companies interviewed (58%) say that the current economic situation has no effect on business travel. However a third of travel managers claim negative effects on their programs, while twelve per cent claim that the current economic situation is positively impacting their programs.The region experiencing the most negative effect is Latin America, where 57% of travel managers say that the current economic situation has a negative effect on business travel. This is not overly surprising, as the most recent IMF report dropped Latin America’s 2013
Missing percentage to 100% = No answer
WorldEuropeLATAMNorthAmericaAsia –PacSouth America
Positive effectsVirtually no effectsNegative effects
Which effects does the current economic situation have on business travel
GDP growth rates world and selected regions
In %WorldEmerging and developing economiesDeveloping AsiaAdvanced economies
1210 8 6 4 2 -2 -4