4 December 2001
Inquiries: Mr Pertti Kangassalo +358 9 1734
3598, pertti.kangassalo@stat.fi
Director in charge: Mr Markku Suur-Kujala
Consumers' confidence in the economy weakened slightly in November
The consumer confidence indicator expressing consumer views on the economy was 3.5 in November, which is a few points lower than in October. Views on Finland's economy and especially on the development of unemployment were gloomy. Consumers' confidence in their own economy also weakened somewhat in November but households' saving possibilities were still assessed as good. In addition, the time was considered favourable for saving and taking out a loan, and there were still plenty of consumption intentions. The data are based on Statistics Finland's Consumer Survey, for which 1,603 persons resident in Finland were interviewed between 5 and 21 November.
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Consumer views on economic and financial conditions in Finland in November 2001 |
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November 2001 balance |
October 2001 balance |
November 2000 balance |
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Consumer confidence indicator |
3.5 |
5.3 |
16.1 |
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Own economic situation in 12 months' time |
7.8 |
9.6 |
9.9 |
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Households' saving possibilities in the next 12 months |
36.5 |
38.7 |
36.6 |
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General economic situation in Finland in 12 months' time |
-10.1 |
-11.4 |
4.6 |
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Unemployment in 12 months' time |
20.2 |
15.6 |
-13.4 |
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Price trend over the next 12 months, % |
2.7 |
2.6 |
2.8 |
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Financial situation of households at present |
26.3 |
26.8 |
26.6 |
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Favourable time to make major purchases at present |
12.7 |
15.7 |
11.1 |
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Favourable time to save at present |
18.9 |
16.7 |
6.7 |
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Favourable time to raise a loan at present |
20.7 |
19.3 |
-5.1 |
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The balance figures are obtained by deducting the weighted proportion of negative answers from that of positive answers. The positive balance figure for unemployment means that unemployment is estimated to go up. The consumer confidence indicator is the average of the balance figures for four questions concerning the next 12 months: own and Finland's economy, households' saving possibilities and unemployment (with changed sign). The balance figures and the confidence indicator can range between -100 and 100. |
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In November 24 per cent of consumers estimated that their own economic situation would improve in the next 12 months. This proportion was a few percentage points smaller than in October and in last year's November. However, only 11 per cent of consumers were worried that their own economic situation would worsen. Nineteen per cent of consumers believed that Finland's economic situation would improve. Of consumers, 38 per cent thought that the country's economic situation would deteriorate further.
In November 54 per cent of consumers believed that unemployment will start to increase in the next 12 months. The corresponding proportion was 16 per cent one year ago. Consumers estimated that inflation would be 2.7 per cent in November 2002.
In November 65 per cent of consumers thought the time was favourable for raising a loan and 16 per cent of households intended to do so in the next 12 months. In last year's November the corresponding proportions were 43 and 12 per cent, respectively. Sixty-six per cent of consumers considered saving worthwhile and 72 per cent of households believed they would be able to lay aside money in the next 12 months.
In November 42 per cent of consumers thought the time was favourable for buying consumer durables. Eight per cent of households planned to buy a car in the next six months. Seven per cent of households were thinking of buying a dwelling in the next 12 months.
Source: Consumer Survey 2001, November. Statistics Finland