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1. Examination of response distributions

Consumers' own and Finland's economy

Still as many as 83 per cent of consumers estimated in July that Finland's economy was now worse than a year ago and only four per cent of consumers felt that it was better. The respective proportions in June were 86 and three per cent. Twenty per cent of consumers thought in July that their own economy is worse at the moment than one year ago. Slightly more consumers or 25 per cent considered their own economy stronger than one year ago.

In July, 32 per cent of consumers believed that Finland’s economic situation would improve in the coming twelve months, while 39 per cent of them thought that the country’s economy would deteriorate. One month previously, the corresponding proportions were 32 and 43 per cent and in last year's July 13 and 37 per cent.

In all, 28 per cent of consumers believed in July that their own economy would improve while 11 per cent of them feared it would worsen over the year. In June, the respective proportions were 27 and 13 per cent and twelve months ago 28 and 16 per cent.

Unemployment and inflation

Altogether 24 per cent of consumers thought in July that general unemployment would decrease over the year, while 53 per cent of them believed it would increase. The corresponding proportions were 24 and 57 per cent in June and 24 and 30 per cent one year ago.

In July, 36 per cent of employed persons felt that they were not threatened by unemployment at all. Four per cent of employed persons reckoned that their personal threat of unemployment had lessened over the past few months, while 35 per cent thought it had grown. One month earlier, these three proportions were almost the same or 36, three and 37 per cent.

Consumers estimated in July that consumer prices would go up by 2.3 per cent over the next 12 months. The predicted long-term average inflation rate is 2.9 per cent.

Saving and taking out a loan

In July, 51 per cent of consumers thought the time was favourable for saving. At the corresponding time last year, the proportion was 67 per cent. In July, 63 per cent of households had been able to lay aside some money and 77 per cent believed they would be able to do so during the next 12 months.

In July, 51 per cent of consumers regarded the time good for taking out a loan. One month earlier this proportion was 43 per cent and one year earlier 65 per cent. In July still clearly more consumers than usual, or 19 per cent of them, were planning to raise a loan within one year.

Use of money

In July, 35 per cent of consumers considered the time favourable for buying durable goods. In July, 16 per cent of consumers planned on increasing and 29 per cent on reducing their spending on durable goods over the next 12 months. These three proportions were 33, 14 and 34 per cent in June.

In July, more consumers than usual, or 18 per cent, were either definitely or possibly going to buy a car during the next 12 months. As in previous months, also intentions related to the dwelling – besides taking out a loan – were on a good level: In July, more consumers than ever, or 17 per cent, considered buying a dwelling during the next 12 months. The long-term average proportion is 13 per cent. In addition, very many, or 23 per cent of consumers, were in July planning to spend money on renovating their dwelling within a year.

Source: Consumer Confidence 2020, July. Statistics Finland

Inquiries: Pertti Kangassalo 029 551 3598, consumer.confidence@stat.fi

Director in charge: Jari Tarkoma

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Updated 27.7.2020