Consumer confidence in economy collapses in March
The Consumer Confidence Indicator (CCI) stood at minus 10.5 in March, having been 0.5 in February and minus 1.7 in January, according to Statistics Finland.
In last year’s March, the CCI received the value minus 3.0. The long-term average for the CCI is minus 1.7.
The data are based on Statistics Finland’s Consumer Confidence Survey, to which 1,014 persons resident in Finland responded between 1 and 20 March.
All four components of the CCI weakened significantly in March when compared with February.
Expectations concerning Finland's economy in 12 months collapsed most sharply. Compared with March last year, the components of the CCI also fell clearly apart from views of consumers’ own economy at present – this remained more or less unchanged in a year.
Expectations concerning consumers' own and especially Finland's economy were very pessimistic in March.
Since 1995, expectations concerning Finland's economy have been gloomier only in December 2008. In March, consumers’ views of their own economy at present were on the long-term average level.
Consumers' intentions to buy durable goods in the next 12 months were relatively subdued in March.
Consumers' expectations concerning the development of the general unemployment situation in Finland weakened sharply in March but still remained on the average level.
By contrast, the personal threat of unemployment or temporary lay-off experienced by employed persons, i.e. wage and salary earners and self-employed persons, fell slightly over the same period.
In March, consumers' estimates and especially expectations concerning inflation rose even more above their long-term averages. Expectations concerning inflation in 12 months were highest ever in the measuring history 1995 to 2022.
Consumers continued to regard their own financial situation even better than before in March. The time was again regarded as fairly favourable for saving, but very poor for buying durable goods and especially for raising a loan.
However, as in the previous months, plans to raise a loan were very common in March. Consumers also anticipated that there would still be quite a lot of possibilities for saving over the next 12 months.
In March, consumers still had considerably many plans to buy a dwelling or build a house in the next 12 months. Plans concerning home renovation and buying a car were on the average level in March.