Turkey: Consumer confidence falls in April
Turkish households turned more pessimistic in April, likely due to the coronavirus pandemic, with the consumer confidence index dropping to 54.9 from 58.2 in March. As a consequence, the index remained firmly entrenched below the neutral 100-mark that separates pessimism from optimism.
The downtick in April was driven by worsening views on both the general economic outlook and their own financial situations over the course of the next 12 months: The Covid-19 pandemic engulfing the world and weighing on trade levels, tourism and domestic economic activity is expected to shrink the Turkish economy this year. Consequently, views on the labor market soured, with consumers expecting a rise in unemployed. Moreover, consumers’ probability of saving over the next 12 months decreased.