Consumer confidence rises quickly in Asia

Consumer confidence rises quickly in Asia

Agence France-Presse, Singapore

Consumer confidence in the Asia Pacific has rebounded faster than
expected from the severe slump in the first half of the year that
was chiefly blamed on SARS, a survey released on Wednesday said.

The ACNielsen survey showed more people are optimistic their
economies will further improve in the next 12 months and are
willing to spend extra money for non-essential items and overseas
holidays.

Indians were the most optimistic, with 89 percent of those
surveyed believing their economy will continue to strengthen in
the coming year, followed by Thailand with 84 percent and
Malaysia with 76 percent, according to the survey.

Hong Kong, which was one of the areas to suffer the most from
the Severe Acute Respiratory Syndrome (SARS) viral outbreak, was
the fifth most optimistic with 67 percent saying they were
confident of a sustained rebound.

"The incident of SARS and war on Iraq caused a real setback to
consumer confidence a few months ago and led many to think that a
rebound in 2003 would be a dream," said Frank Martell, president
of ACNielsen in the Asia Pacific and emerging markets.

"However, as our findings show, cities like Singapore, Hong
Kong and Taiwan which were hit by SARS, have actually regained
their momentum relatively quickly, and the people in India and
Thailand also sound particularly upbeat about their future."

A total 7,230 people in 13 Asian markets were covered by the
survey, which the marketing information firm carried out in
October.

In the survey, personal health overtook the economy as the
Asians' main worry, and more people said they were willing to
spend extra cash to buy high-tech gadgets such as personal
computers, mobile phones, digital cameras and flat screen
television, the survey said.

Consumer sentiment emerged strongest in Hong Kong, with 86
percent saying they will spend on non-essential items, such as
clothes, entertainment and new gadgets.

People from Singapore, Taiwan and Hong Kong also said they
would spend more on international travel, compared with six
months ago when most opted for holidays within the country.