Consumer confidence on November highest in 2003<\/p>\n
The Jakarta Post, Jakarta<\/p>\n
Consumer confidence in November rose to its highest level in
\n2003 on the back of soft inflation and large holiday bonuses that
\nallowed consumers to spend generously, a survey said on Monday.<\/p>\n
The consumer confidence index rose by 3.6 percent in November
\nto 95.6. Fewer work days and Idul Fitri bonuses enabled consumers
\nto celebrate the Islamic holiday within a more jubilant
\natmosphere, boosting confidence in the economic recovery.<\/p>\n
\"People felt much better with regard to what went on during
\nNovember in their economic environment,\" the survey said.<\/p>\n
It said people felt more sure that the momentum of the current
\nrecovery would continue, to generate more jobs and provide them
\nwith opportunities for improvement in family income in the six
\nmonths to come.<\/p>\n
The Danareksa consumer confidence survey is based on a
\nrepresentative sample of 1,700 households in six different main
\nareas and on face-to-face interviews.<\/p>\n
Consumer confidence is designed to measure the mood of
\nconsumers with regard to purchases, which can help predict buying
\npatterns.<\/p>\n
Confidence in the security situation boosted consumer
\nconfidence in November as people were not concerned about their
\nsafety compared with last year, after the Bali bombings on Oct.
\n12.<\/p>\n
\"People had little reason to feel downhearted on this joyful
\noccasion, but much to cheer them up, as the environment around
\nthem was favorable,\" the survey remarked.<\/p>\n
High levels of optimism in the country's economy have also
\nboosted people's confidence in the government's ability to
\nimprove growth, cap rising inflationary pressures, improve
\ndeteriorating infrastructure, restore security and order, as well
\nas uphold the law.<\/p>\n
The consumer confidence in government index (CCGI) bounced
\nback 6.2 percent to 125.3, the highest since December 2001, with
\nall components rising strongly.<\/p>\n
The government's ability to control inflation has contributed
\nto boosting the consumer confidence level, as the index is up by
\na whopping 11.5 percent.<\/p>\n
While positive sentiment has buoyed consumers across the
\ncountry, the survey said the future economy would still rely on
\nconsumer spending levels going upward in a consumer-driven
\neconomy.<\/p>\n
The survey shows that the appetite of consumers to spend on
\ndurable goods has shrunk because people foresee the likelihood of
\nhigher interest rates.<\/p>\n
People saw that one-month central bank benchmark interest
\nrates (SBI) had clearly moved upward throughout November,
\ndissuading them from committing themselves to any big
\ntransactions that called for monthly interest-bearing repayments,
\nuntil the direction of rates became clear.<\/p>\n
Danareksa said any temporary reversal of rate direction, if
\nnot finely tuned, might spoil a recovery in the making.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/consumer-confidence-on-november-highest-in-2003-1447893297",
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"sponsor": "Okusi Associates",
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