Despite the optimism, concerns about macroeconomic volatility and inflation persist, with 29% and 27% of respondents, respectively, expressing these worries.

However, regulatory complexity remains a significant barrier to initiating climate investments, with 42% of CEOs citing it as a primary concern, overshadowing worries about lower returns and lack of management support.

In response to these challenges, around 40% of CEOs have begun to explore new sectors, reflecting a broader shift towards innovation and adaptability.

Furthermore, 42% of CEOs believe that without embracing change, particularly in AI, their companies may not remain viable in the next decade.

This optimism is particularly pronounced among smaller firms, especially those in technology, real estate, private equity, and pharmaceuticals.

In line with this positive outlook, 42% of CEOs plan to increase their workforce by at least 5%, contrasting with only 17% who anticipate a reduction in headcount.

PwC's global chairman, Mohamed Kande, stresses the importance for businesses to reinvent their value creation strategies in light of emerging technologies and geopolitical shifts.

Businesses that have invested in climate initiatives over the past five years are seeing substantial benefits, with 33% reporting revenue increases compared to just 5% experiencing declines.

Global business and finance leaders are convening at the World Economic Forum in Davos, addressing the economic challenges and uncertainties stemming from the new US administration.

A recent survey by PwC indicates a growing optimism among CEOs, with 60% expecting global growth in the next 12 months, a significant rise from 38% last year.

Carol Stubbings from PwC highlights that digitization is erasing barriers between sectors, necessitating adaptation for survival amid climate transitions and advancements in AI.