Colombia: Consumer confidence deteriorates sharply in February
March 13, 2014
The Fedesarrollo consumer sentiment index fell from 26.6 points in January to 15.7 in February, which marked the lowest level in five months. Nevertheless, the index is still well above the 0-point threshold that separates optimistic from pessimistic territory. The monthly deterioration mostly reflects a sizeable fall in consumer expectations, as households were substantially more pessimistic regarding their economic conditions and the general economic situation for the next 12 months. Consumers' views on the current economic conditions also deteriorated in February, mainly due to increasing pessimism regarding their economic situations at present and their ability to purchase big-ticket items. LatinFocus Consensus Forecast participants expect total consumption to expand 4.4% in 2014, which is unchanged from last month's forecast. For 2015, the panel expects total consumption to increase 4.5%.