Polling during forum hosted by Santander Bank and the Greater Providence Chamber of Commerce reveals cautious optimism on the state of businesses in Rhode Island.
Santander Bank, N.A. (“Santander” or “the Bank”) and the Greater Providence Chamber of Commerce hosted their 22nd Economic Outlook Breakfast for Rhode Island’s business community. More than 300 people gathered at the Crowne Plaza in Warwick, Rhode Island, for the annual event, which offers leaders across various local industries, including financial services, education, healthcare, manufacturing and government, a forum to discuss the current economy and changing dynamics of Rhode Island. A real-time survey revealed their outlook on the U.S. economy, challenges local businesses face, and opportunities for future development.
Amid broader economic uncertainty, business leaders surveyed at the event expressed cautious optimism about the current and future state of their own businesses. Nearly three quarters (73%) believe their business is about the same, or in better shape than it was a year ago, and 69% say it will be about the same, or in better shape a year from now.
More than half (62%) of leaders, however, believe the U.S. economy will be in worse shape over the next 12 months. Sentiments around the future state of the Rhode Island economy were similar, with nearly 60% believing it will be in worse shape a year from now. Revenue and sales growth (45%) and global distribution (18%) were cited as the top two challenges Rhode Island businesses will face this year. Furthermore, tariffs are top of mind for most leaders with over 70% saying they are concerned about the impact of tariffs on their business.
The survey also showed that hiring plans over the next 12 months will remain the same (53%), as will capital expenditure spending for businesses in 2025 (44%).
Turning to technology, the majority of business leaders (96%) expressed familiarity with Artificial Intelligence (AI) in some capacity, with 38% citing they are active users. Over half (52%) have AI policies in place within their organizations. While many leaders (45%) have long-term plans to invest in AI, 31% plan to invest in the very near future, and 27% say they will be making investments in the mid-term.
Given the emergence of AI and the opportunities and challenges it presents to businesses of all sizes, this year’s event featured a timely discussion amongst a panel of local innovators and experts including Rajani Mahadevan, Chief Operating Officer at The Beacon Mutual Insurance Company, Matt Nylin, Director of Analytics and Data Engineering at Vacasa, and Martin King, Founder & CEO of AI-X.com. Stephen Stanley, Chief U.S. Economist for Santander US Capital Markets, opened the conversation by sharing insights into the current macroeconomic environment as well as trends and topics impacting businesses today.
“At Santander, our purpose is to help people and businesses prosper. We’re committed to working with the Greater Providence Chamber of Commerce to continuously gain grassroots perspectives on Rhode Island’s strengths and areas of opportunity to aid both economic growth and innovation. Furthermore, these insights enable us to better serve our clients and provide solutions for the issues they face today and in the future.”
Michael Lee
Senior Executive Vice President and Managing Director of Commercial Banking at Santander Bank
“For over two decades, this forum has provided an important space for Rhode Island’s business and civic leaders to come together and discuss timely matters impacting the state. AI is shaping the future of business, and we’re pleased to leverage our long-standing partnership with Santander to educate, engage and empower our business community,” added Laurie White, President, Greater Providence Chamber of Commerce.
DISCLAIMER: The survey results expressed herein do not necessarily reflect the views of Santander Bank, N.A. and are not intended to represent Santander Bank, N.A.’s position on any of the issues referenced therein.