- Hans Weber
- October 4, 2022
Consumer confidence in the economy is the worst since 2012
Confidence in the Czech economy rose 3.4 points month-on-month to 100 points in April, having fallen a month earlier. April’s increase was mainly due to higher confidence among businesses, while consumers were more pessimistic than in March. Their confidence in the economy hit its lowest level since November 2012.
Confidence among consumers is also lower in a year-on-year comparison, while the aggregate indicator of confidence and trust among entrepreneurs is higher than in April last year.
Confidence among firms increased by 4.3 points in April compared to March, to 103.8. This was mainly due to higher expectations for industrial production growth and a positive assessment of current business demand in selected service sectors. Business confidence declined in trade and construction.
“In industry, enterprises are slightly more prevalent than in March in estimating demand and downstream production activity in the next three months more positively. In selected service sectors, entrepreneurs with a better assessment of current demand than in March slightly prevail, “said Jiří Obst, head of the Czech Statistical Office economic surveys department.
However, according to him, the majority of respondents said that predicting future developments is extremely difficult for them in the current situation.
Among consumers, confidence in the domestic economy fell 1.1 points month-on-month to 81.3 points. In the words of the statisticians, they have a negative view of almost all of the things they are looking at. They are most worried about price increases, the economy, and finances.