Sentiment down for personal finances, investments, jobs & economy.
After June’s upturn, consumer sentiment for India has dropped again in July 2002 by 0.6 percentage points according to the monthly India Refinitiv-Ipsos Primary Consumer Sentiment Index. In fact, we are seeing a dip across all the 4 sub-indices.
The survey shows, confidence around the economy has been hit the hardest which is driving down the overall confidence. The PCSI Economic Expectations (“Expectations”) Sub Index, is down 1.4 points; the Investment Climate (“Investment”) Sub-Index is down 0.7 percentage points; the PCSI Current Personal Financial Conditions (“Current Conditions”) Sub-Index has dipped 0.4 percentage points;; and the PCSI Employment Confidence (“Jobs”) Sub-Index is down 0.2 percentage points, over the previous month.
Amit Adarkar, CEO, Ipsos India, said, “Global slowdown is impacting most economies and India too is not insulated being the world’s 6th largest economy, as there are the looming inflationary conditions due to the prolonged Ukraine war which have impacted fuel prices and cost of living, despite measures by govt to ease it for consumers. Though inflation seems to have tapered off in June, it is yet to show a decline. Consumer confidence has yoyo-ed in AMJ quarter in absence of clear direction. The actual impact on consumer demand in AMJ quarter may have been muted as most consumer goods marketers absorbed the input price increase impact through cost engineering and downgrading pack sizes while maintaining price lines. The JAS quarter will be extremely crucial as consumer sentiment could swing either way and that could set the trend for the festival season and rest of the fiscal year. One thing is certain - India is still more resilient than its global counterparts who have been hit harder.”