Treasury Coalition’s Global Crisis Monitor Survey Results: April 31, 2020

This week’s survey results show optimism growing about 12-month recovery

GTreasury is committed to helping its customers and the industry at large make actionable decisions throughout the COVID-19 pandemic. With that in mind, we are active supporters of the Treasury Coalition, an industry-wide effort led by Strategic Treasurer.

The Treasury Coalition has launched the Global Crisis Monitor, an “immediate and ongoing survey of COVID-19 impact and response.” The survey collects weekly impact and reaction data from corporate treasury professionals around the world to provide flash insights into the current sentiment of the industry.

“Financial professionals are now planning for the end of the health issue in 10 to 12 months and are planning on returning to financial normalcy soon after,” said Michele Marvin, vp of GTreasury, a supporter of the Treasury Coalition.

Positive outlook:

  • Optimism of 12-month recovery grows: There was a significant jump this week by respondents who expected a recovery in the next 12 months. Half of respondents (51 percent) are optimistic of a 12-month recovery, up from 39 percent last week.
  • Debt and liquidity: Changing perceptions on organizational liquidity repeated a week on week improvement. Perceptions of banks line of credit, central bank liquidity, issuance of commercial paper, government fiscal activities all improved this week.
  • Impact of Covid-19 on company: Respondents continued to report improvements in perceptions on how their company/organization is reacting to COVID-19.
  • Few projects are cancelled, and new projects are started: Less than 4 percent of respondents said projects have been cancelled due to COVID-19 and 9 percent reported starting new projects.

Cautionary and negative outlooks:

  • Continued concerns about accounts payable: Similar to last week, organizations reported a negative outlook for accounts payable, although there was a slight improvement this week over last.
  • Paused or altered scope of projects: 33 percent respondents said they have paused a project (25 percent of these said it was due to budget/cashflow; 14 percent due to staffing issues); and 31.5 percent said they altered scope/pace of an existing project.

Timing estimates:

  • Financial normalcy: The mean of when businesses return to the state they were in before COVID-19 increased to 11 months (from 9 months last week).
  • Economic recovery: This week, 66% had a negative outlook of a recovery happening in the next three months (steady from last week). As stated above, the optimism of a recovering in next 12 months leaped to 51 percent compared to 34 percent last week.

Here are key graphics from this week’s report. If you cite or use any of the statistics or graphics in social media or reports, please attribute them to the Treasury Coalition: Global Crisis Monitor.

To participate in this ongoing survey click here.  We are currently collecting perspectives for the April 29 – May 5  dataset. You can also sign up to receive the full report each week.