Russia: Consumer confidence plunges to lowest level in nearly three years
January 10, 2014
The consumer confidence index published by the Federal State Statistics Service (Rosstat) dropped to minus 11.0% in the fourth quarter, which was down from the minus 7.0% observed in Q3 2013. The reading marks the second consecutive decline following three consecutive periods of improvement and brings the index to the lowest level since Q1 2011.
The deterioration in Q4 was broad-based, as all five of the categories that comprise the index fared worse compared to the previous quarter. In particular, respondents to the survey have more negative outlook regarding both the current state of the Russian economy and the country's future economic prospects. Accordingly, prospects for large purchases deteriorated over the previous quarter.
FocusEconomics Consensus Forecast panelists expect private consumption to grow 4.5% in 2014, which is down 0.1 percentage points from last month's projection. For 2015, panelists expect private consumption to expand 4.6%.
Author: Armando Ciccarelli, Head of Data Solutions