1 December 2000
Inquiries: Mr Pertti Kangassalo +358 9 1734 3598,
pertti.kangassalo@stat.fi
Director in charge: Mr Markku
Suur-Kujala
Consumers' confidence in the economy slightly stronger in November
The consumer confidence indicator expressing consumers' views on the economy was to 9.3 in November, i.e. good two points higher than in October. However, confidence in the economy was clearly stronger one year ago. In particular, views on Finland's economy and on the time being favourable for making major purchases improved in November. In contrast, fewer consumers than before believed that unemployment would decrease. The data are based on Statistics Finland's Consumer Survey, for which 1,597 persons resident in Finland were interviewed between 6 and 22 November.
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Consumer views on economic and financial conditions in Finland in November 2000 |
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November 2000 balance |
October 2000 balance |
November 1999* balance |
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Consumer confidence indicator |
9.3 |
6.9 |
13.6 |
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Economic situation of households in 12 months' time |
9.9 |
9.4 |
8.9 |
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General economic situation in 12 months' time |
4.6 |
1.7 |
13.0 |
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Unemployment in 12 months' time |
-13.4 |
-16.6 |
-24.1 |
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Price trend over the next 12 months, % |
2.8 |
2.9 |
2.3 |
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Financial situation of households at present |
26.6 |
25.4 |
21.7 |
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Favourable time to make major purchases at present |
11.1 |
6.9 |
19.5 |
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Favourable time to save at present |
6.7 |
10.7 |
-1.7 |
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Favourable time to raise a loan at present |
-5.1 |
-11.2 |
26.9 |
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The balance figures are obtained by deducting the weighted proportion of negative answers from that of positive answers. The negative balance figure for unemployment means that unemployment is estimated to go down. The consumer confidence indicator is the average of the balance figures for the following questions: Finland's past and future economic development, past and future economic development of the respondent's own household, and whether it was a favourable time to make major purchases at present. The balance figures and the confidence indicator can range between -100 and 100. * The data collection method for the Survey changed from January 2000, for which reason older data are not fully comparable. |
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In November 28 per cent of consumers expected the economic situation in Finland to improve in the next 12 months. This proportion was 26 per cent in October and 37 per cent in last year's November. Twenty-seven per cent of consumers were confident that their own economic situation would improve in the next 12 months, which is approximately the same as in October and last year.
Forty per cent of consumers viewed the time favourable for making major purchases in November. Various consumption intentions were still strong and many intended to purchase entertainment electronics, in particular. Nine per cent of households considered buying a car in the next six months and five per cent thought of buying a dwelling in the next 12 months.
In November 43 per cent of consumers thought the time was favourable for raising a loan, while the figure was 38 per cent in October. Twelve per cent of households intended to raise a loan in the next 12 months. In November 55 per cent of consumers considered it worthwhile to save money, and 70 per cent of households believed they would be able to lay aside some money in the next 12 months.
In November, 43 per cent of consumers believed that unemployment would decline further in the next 12 months. This figure was 47 per cent in October and clearly more than one half of consumers in November 1999. Consumers estimated that inflation would be 2.8 per cent in November 2001.
Source: Consumer Survey 2000, November. Statistics Finland