JOHANNESBURG, December 8 (ANA) – South Africa’s consumer confidence rose in the third quarter of the year but still remained depressed in negative territory for the long-term average, a survey said on Thursday.
According to the consumer confidence index sponsored by First National Bank (FNB) and compiled by the Bureau for Economic Research, the improvement in the consumer confidence index stemmed predominantly from forward looking indicators.
The index reading for the third quarter registered at -3 compared to -11 in the second quarter.
The survey said there was less pessimism concerning the economic prospects over the next 12 months and increased confidence with respect to the household financial position during the next 12 months.
In contrast to the forward looking indicators, the present time indicator deteriorated further with the majority of consumers rating the present time as inappropriate to purchase durable goods.
High income households turned more pessimistic than lower income households.
According to the survey, these considerations – taken together with the downturn in retail confidence in the fourth quarter – suggested that retail sales growth would remain suppressed over the festive season.
– African News Agency (ANA)
