Israel: Consumer confidence improves in August while business confidence reaches record high
September 11, 2017
The Central Bureau of Statistics’ (CBS) consumer confidence index rose from minus 13.1 points in July to minus 10.6 points in August. Although the index showed an improvement in August, it has remained firmly entrenched in negative territory since the survey began in March 2011. The improvement in consumer confidence was broad-based as most sub-indicators recorded an improvement: Consumers are more optimistic about their personal economic situation, their ability to save and the country’s economy, but they grew less optimistic regarding the unemployment situation. The reduced optimism regarding job opportunities is likely linked to a tight labor market with already low unemployment levels. Moreover, consumer confidence seems to be unmoved by the thickening scandal surrounding Prime Minister Benjamin Netanyahu and his inner circle.
Following the overall economic trend, business confidence increased from 19.6 points in July to 23.3 points in August, jumping to the highest level in the history of the survey.
Author: Jan Lammersen, Economist