28 June 2002
Inquiries: Mr Pertti Kangassalo+358 9 1734
3598, pertti.kangassalo@stat.fi
Director in charge: Mr Markku Suur-Kujala
Consumers' confidence in Finland's economy weakened slightly in June
The consumer confidence indicator, expressing Finnish consumers' views on the economy, stood at 14.8 in June, while it was 15.6 in May and 11.6 one year ago. Consumers' views on Finland's economy and the development of unemployment deteriorated somewhat in June. In contrast, consumers still had strong faith in their own economy and saving possibilities. They had some doubts in June about the time being favourable for purchasing consumer durables. The data are based on Statistics Finland's Consumer Survey, for which 1,568 persons resident in Finland were interviewed between 3 and 20 June.
Consumer views on the economic and financial conditions in Finland in June 2002
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|
June 2002 balance |
May 2002 balance |
June 2001 balance |
Average 10/1995- |
|||||
|
Consumer confidence indicator |
14.8 |
15.6 |
11.6 |
14.4 |
||||
|
Own economic situation in 12 months' time |
11.8 |
11.8 |
9.4 |
8.3 |
||||
|
Household's saving possibilities in the next 12 months |
40.7 |
39.9 |
34.5 |
26.1 |
||||
|
General economic situation in Finland in 12 months' time |
6.5 |
9.0 |
-3.9 |
9.3 |
||||
|
Unemployment in 12 months' time |
-0.3 |
-2.0 |
-6.3 |
-14.1 |
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|
Price trend over the next 12 months, % |
1.6 |
1.8 |
2.8 |
1.9 |
||||
|
Financial situation of household at present |
26.4 |
27.0 |
25.4 |
22.1 |
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|
Favourable time to make major purchases at present |
-2.1 |
0.9 |
9.5 |
18.3 |
||||
|
Favourable time to save at present |
19.3 |
17.3 |
16.4 |
1.5 |
||||
|
Favourable time to raise a loan at present |
21.3 |
24.1 |
11.3 |
19.2 |
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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 four questions concerning the next 12 months: own and Finland's economy, household's saving possibilities and number of unemployed (with changed sign). The balance figures and the confidence indicator can range between -100 and 100. |
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In June 32 per cent of consumers believed that Finland's economic situation would improve in the next 12 months while 19 per cent thought the country's economy would deteriorate further. The corresponding proportions were in May 35 and 17 per cent and one year ago 20 and 28 per cent. In June 28 per cent of consumers trusted their own economy would improve. Only 8 per cent of consumers feared their own economy would worsen.
In June 28 per cent of consumers believed that unemployment would fall in the next 12 months. Almost as many, that is, 27 per cent estimated unemployment to worsen. The corresponding proportions were 31 and 26 per cent in May. In June 8 per cent of employed persons reckoned that they were likely to become unemployed in the next 12 months. Consumers predicted that the rate of inflation would be 1.6 per cent in June 2003.
In June 32 per cent of consumers considered the time favourable for buying consumer durables, but slightly more, i.e. 34 per cent, thought it was unfavourable. Consumers still had plenty of consumption intentions in June, such as plans for travelling and for purchasing hobby equipment. Seven per cent of households intended to buy a car in the next six months and 5 per cent were thinking of buying a dwelling over the next 12 months.
In June 67 per cent of consumers thought the time was favourable for raising a loan and 14 per cent of households were planning to do so in the next 12 months. In June 65 per cent of consumers considered saving worthwhile and 74 per cent of households believed they would be able to lay aside money in the next 12 months.
Consumer confidence indicator 10/1995-6/2002
Consumers' expectations concerning their own and
Finland's economy
in 12 months' time 10/1995-6/2002
Consumer confidence indicator in EU Member States, May
2002
Deviation of indicator from average 10/1995-*
http://europa.eu.int/comm/economy_finance/indicators/businessandconsumersurveys_en.htm
Source: Consumer Survey 2002, June. Statistics Finland