The predictions come despite CIMA research last month, which found half of companies had uncovered ‘major’ deficiencies in the finance function, particularly with integrating information from different IT systems.
But, according to the latest survey of chief information officers, by US investment bank Merrill Lynch, budgets are set to increase this year, and could go beyond predictions if economic stability was reached.
The results will be viewed as good news by the technology sector, which has endured a torrid time, reflected in a worldwide IT slide of 1.1% during 2001.
Last year European budgets grew 2.6% while US budgets fell 2.8% in 2001. Predictions for 2003 are even more encouraging, with US CIOs expecting a 6.8% increase, while their European counterparts believing 12.1% growth is attainable.
The biggest areas of growth are expected to be in storage and software, while personal computer spend is expected to fall.
There was a sting in the tail however; with 75% of the 110 CIOS questioned, saying 2002 will be a bad year for software vendors, except for the larger players including IBM, Microsoft, Dell and Compaq.
Andrew Tyrie airs views on the Finance Bill, 'Making Tax Policy Better' report, and Brexit
In our latest managing partner Q&A looking towards 2017, CVR Global's Richard Toone talks about recruitment, and the potential threat of competition from the legal sector, as key issues for the firm in the coming year
Deloitte to avoid tendering for government contracts over the next six months, to appease Theresa May following consultant's report that painted a less-than-flattering picture of Brexit plans
In our first Q&A looking towards 2017, Menzies senior partner Julie Adams flags up increasing digitisation, aligned with more hands-on consultative services, as the key mix for her practice