💵 Canadian CEOs record sharp departure from global sentiment as optimism dips and confidence gap widens: PwC Canada's 29th Annual Global CEO Survey

Thursday, 05 February 2026 08:00.AM

- Watershed moment calls for bolder strategies in AI, need for reinvention and sector expansion to secure future growth -

Key highlights:

• Confidence gap widens: 47% of Canadian CEOs expect global economic growth to improve in the next 12 months (vs. 61% globally), while only 27% expect Canada's economy to improve.
• Trade tensions bite: 53% are concerned about the impact of U.S. trade policy and tariffs; 35% expect reduced profit margins in the next year.
• Scaling AI adoption: 94% of Canadian CEOs use AI to some extent, but Canada lags with only 29% scaling it across their business (vs. 43% globally).
• Reinvention for value creation: 56% have entered new sectors in the past five years (+19 pts YoY), and 64% plan to expand into at least one new sector in the next three years.

PwC Canada's 29th Annual CEO Survey reveals a significant shift: Canadian CEO confidence has broken from global optimism in a trend reversal for the first time in over five years.

While 61% of global CEOs expect global economic growth to improve--up from 58% last year, but only 47% of Canadian CEOs agree, and confidence in Canada's own economy has plunged to 27% (down from 42% last year). Short-term revenue confidence (12 months) is also down to 36%, but nearly half remain optimistic over a longer-term period (three years).

This gap signals that Canadian CEOs are worried about current economic and geopolitical headwinds--but believe reinvention strategies, including AI adoption and sector expansion, will pay off, over time.

A Watershed Moment

"This year's survey results mark a watershed moment for Canadian business leaders," said Nicolas Marcoux, CEO, PwC Canada. "For the first time in over five years, Canadian CEO sentiment is moving in the opposite direction of global optimism. The headwinds in Canada--trade uncertainty, tariff pressures, and slower adoption of transformative technologies like AI--are significant and very real.

But they're also a catalyst. We're seeing Canadian companies rise to the challenge by reinventing themselves: entering new sectors, accelerating innovation, and embracing AI to build resilience and unlock growth. The message is clear--those who act boldly now will define Canada's competitive future."

Why this divergence? Trade tensions and tech lag

Canadian CEOs cite heightened concerns about U.S. trade policy and tariffs, with 53% worried about their impact and 35% expecting reduced profit margins in the next year.

Slower AI adoption is another factor: while nearly all (94%) Canadian CEOs report using AI to some extent, only 29% have applied it at scale compared to 43% globally. Those who move beyond pilots and embed AI enterprise-wide will pull ahead, while others risk falling behind.

Signs of reinvention: Betting big on AI and new markets

To navigate persistent economic uncertainty, Canadian CEOs must make bold, decisive moves by activating key levers of change to drive growth and resilience.

• Accelerating AI adoption: Nearly all Canadian CEOs have experimented with AI, but few have scaled it. The winners will be those who act decisively now to embed AI enterprise-wide and unlock new revenue streams.
• Sector Expansion: More than half have entered new sectors in the past five years, and nearly two-thirds plan to expand further--particularly into industrials, energy, and technology.
• Strategic M&A: 63% plan to make at least one acquisition in the next three years, signaling confidence in strategic growth opportunities.

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The PwC 29th Annual Global CEO Survey includes insights from 133 Canadian CEOs. The survey aims to capture the perspectives of business leaders on the global and national economic landscape, emerging trends, and strategic priorities.

SOURCE: PwC Management Services LP