Consumer confidence in economy weakens in March

The consumer confidence indicator (CCI) stood at minus 3.0 in March, having been minus 0.8 in February and minus 0.9 in January, according to Statistics Finland.

In last year’s March, the CCI received the value of minus 7.1. The long-term average for the CCI is minus 1.8.

The data are based on Statistics Finland’s Consumer Confidence Survey, to which 1,080 persons residing in Finland responded between 1 and 21 March.

Of the four components of the CCI, only the estimate concerning consumers’ own economy at present improved in March from that in February.

Consumers’ expectations concerning their own economy in 12 months remained unchanged. By contrast, expectations concerning Finland’s economy weakened clearly now. Consumers’ intentions to spend money on durable goods within one year decreased slightly in March.

Compared with the level of last year’s March, the assessment of one’s own economy at present was worse this time. The other three components of the CCI improved clearly in a year.

In March, consumers’ expectations concerning the development of their own economy were very bright in the coming 12 months and they had fairly plenty of intentions to spend money on durable goods.

By contrast, expectations concerning Finland’s economy were poor for a change. An estimate of the present state of one’s own economy at present represented the long-term average level in March.

Consumers’ expectations concerning the development of the general unemployment situation in Finland also became gloomier again in March. The views of employed persons, i.e., wage- and salary-earners and self-employed persons, about the personal threat of unemployment or temporary lay-off at the time of the survey remained more or less unchanged, but at a low level.

Consumers estimated in March that their own financial situation was the best ever in the measuring history since 1995.

The time was regarded good for saving but poor for taking out a loan and buying durable goods. Nevertheless, many still intended to raise a loan within one year.