Gregory Daco: CFOs should anticipate higher borrowing costs into 2027 and prioritize productivity-focused projects

Gregory Daco: CFOs should anticipate higher borrowing costs into 2027 and prioritize productivity-focused projects
CFOs to face higher costs into 2027

Josh Putnam of EY Parthenon said that chief financial officers (CFOs) should go into 2027 expecting sustained higher borrowing costs.

Gregory Daco advised that CFOs should prioritize projects with measurable productivity gains, fully account for costs, and pair investments in technology, talent, and skills.

Daco previously discussed how changes in sovereign debt supply and demand are affecting financial markets and fiscal space at NABE2026, as detailed in an earlier report. He has also commented on South Korea’s stronger-than-expected GDP growth driven by AI chip exports, covered in a recent analysis. Both topics highlight the global factors CFOs must navigate when planning investments.

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