SURVEY: US Firms Are The Least Likely To Increase Spending In 2013

Just 17% of firms in the U.S. say they'll increase spending this year, according to a new survey from American Express, the lowest figure in any country.

American CFOs are also second-most-likely to employ tight spending controls. France is No. 1.

The Americans cite new regulations and cost of compliance as the main factor putting a brake on spending:

Looking at a wide spectrum of industries in the U.S. – from accounting and real estate to food and beverage – 30 percent of all respondents expect a substantial increase in the total cost of compliance with laws being developed.

In addition, 45 percent of respondents believe that the total cost of complying with government regulation has already increased substantiallyover the past five years.

The survey also found few Chinese respondents had plans to maintain tight spending controls.

Here are the full results:

Selected Highlights

Spending and Investment Increases

Most Likely to Substantially Increase Spending and Investment
Countries	Percentage
Argentina and India	75%
Brazil and China	71%
Mexico	57%

Least Likely to Substantially Increase Spending and Investment
Countries	Percentage
Canada	31%
France	22%
United States	17%

Economic Optimism by Country

Most Optimistic about Economic Growth
Countries	Expecting Economic Expansion
Brazil	100%
China and Hong Kong	94%
Mexico	81%

Least Optimistic about Economic Growth
Countries	Expecting Economic Expansion
United Kingdom	50%
Spain	43%
France and Russia	39%

Additional U.S. Findings

U.S. CFOs Relatively Optimistic About Growth
Expect to Increase Headcount	50%
Expect More M&A Activity Globally	79%
Predict Economic Expansion in the U.S.	71%

U.S. CFOs Remain Cautious about Spend
Concerned About Political Uncertainty	50%
Do Not Plan to Expand Globally	26%
Plan Modest or Tightly-Controlled Approach to Spend	88%