Consumer confidence at highest since 2008
One in every two respondents is optimistic about job prospects in next 12 months
One in every two respondents is optimistic about job prospects in next 12 months. PHOTO: ZAHOORUL HAQ/EXPRESS
KARACHI:
Consumer confidence in Pakistan reached its highest level since 2008, with a score of 104 for the first quarter of 2016, according to a press release issued by Nielsen on Monday.
A global performance management company that provides a comprehensive understanding of what consumers watch and buy, Nielsen said the consumer confidence level is moving on a steady stride since the third quarter of 2014, reporting a one-point increase from the fourth quarter of 2015 and a two-point increase from a year ago.
Pakistan’s economic outlook at six-year high
The recessionary sentiment has decreased from 71% (Oct-Dec 2015) to 69% (Jan-Mar 2016). One in every two respondents was optimistic about their job prospects in the next 12 months. Six in every 10 Pakistani respondents were confident that personal finances (64%) would be good or excellent in the next 12 months - a rise of four percentage points from the previous quarter.
“We have witnessed consumer confidence going around the same range in the past year, with the index consistently reported being above the optimism baseline, as Pakistan economic reform progress and security conditions improve, which have resulted in an increase of foreign investment,” the statement said while quoting Mustafa Moosajee, Managing Director of Nielsen Pakistan.
“Pakistan is a key beneficiary of low global oil prices due to its high level of oil import. This has led to a low inflation environment and allowed consumers to benefit from low domestic petrol prices, low interest rates and a reduced electricity bill,” he said.
As a result, consumers feel more secure about their personal finances, as they are left with extra cash and have the capacity to save, the statement said.
The findings also showed that consumers’ immediate spending intentions rose by one-point (42%) from the previous quarter. Pakistan’s improved business environment and positive consumer sentiments have led to a favourable atmosphere, as depicted by the consumer confidence index.
Pakistan’s per capita income rises slightly to $1,561
When asked about spending patterns, more respondents admitted to have changed their spending patterns to cut down on household expenses compared to last year (74% in Jan-Mar 2016 versus 66% in Oct-Dec 2015); spending less on new clothes, out-of-home entertainment and new technology items, while putting more of the extra cash into savings as the concerns for safety and future wellbeing of their family increase.
Published in The Express Tribune, May 24th, 2016.
Consumer confidence in Pakistan reached its highest level since 2008, with a score of 104 for the first quarter of 2016, according to a press release issued by Nielsen on Monday.
A global performance management company that provides a comprehensive understanding of what consumers watch and buy, Nielsen said the consumer confidence level is moving on a steady stride since the third quarter of 2014, reporting a one-point increase from the fourth quarter of 2015 and a two-point increase from a year ago.
Pakistan’s economic outlook at six-year high
The recessionary sentiment has decreased from 71% (Oct-Dec 2015) to 69% (Jan-Mar 2016). One in every two respondents was optimistic about their job prospects in the next 12 months. Six in every 10 Pakistani respondents were confident that personal finances (64%) would be good or excellent in the next 12 months - a rise of four percentage points from the previous quarter.
“We have witnessed consumer confidence going around the same range in the past year, with the index consistently reported being above the optimism baseline, as Pakistan economic reform progress and security conditions improve, which have resulted in an increase of foreign investment,” the statement said while quoting Mustafa Moosajee, Managing Director of Nielsen Pakistan.
“Pakistan is a key beneficiary of low global oil prices due to its high level of oil import. This has led to a low inflation environment and allowed consumers to benefit from low domestic petrol prices, low interest rates and a reduced electricity bill,” he said.
As a result, consumers feel more secure about their personal finances, as they are left with extra cash and have the capacity to save, the statement said.
The findings also showed that consumers’ immediate spending intentions rose by one-point (42%) from the previous quarter. Pakistan’s improved business environment and positive consumer sentiments have led to a favourable atmosphere, as depicted by the consumer confidence index.
Pakistan’s per capita income rises slightly to $1,561
When asked about spending patterns, more respondents admitted to have changed their spending patterns to cut down on household expenses compared to last year (74% in Jan-Mar 2016 versus 66% in Oct-Dec 2015); spending less on new clothes, out-of-home entertainment and new technology items, while putting more of the extra cash into savings as the concerns for safety and future wellbeing of their family increase.
Published in The Express Tribune, May 24th, 2016.