Ireland: Mood among Irish consumers deteriorates in October
November 15, 2016
In October, the KBC Bank Ireland/ESRI Consumer Sentiment Index dropped from 102.0 points in September to 97.3 points, an almost two-year low. Although October’s result is still relatively positive, the reading highlights consumers’ growing pessimism about the country’s economic outlook.
October’s print was dragged down by a more downbeat assessment of all seven sub-indicators of the index. Irish consumers grew more pessimistic regarding the country’s current economic conditions, their financial situation and the employment outlook. The print reflects consumers’ growing unease and apprehension against a backdrop of mounting economic uncertainty and the failure of the economic recovery to translate into tangible economic gains for the average household.
In this climate of increased uncertainty, KBC suggested that, “a gradual erosion of expectations for a progressive improvement in conditions has occurred to the point where the majority of consumers no longer take for granted the persistence of strong Irish ‘macro’ conditions.”