Turkey: Consumer sentiment in December moderates following November's jump
December 21, 2015
The consumer confidence index, published by the Statistical Institute in cooperation with the Central Bank, receded from November’s 77.1 points to 73.6 points in December. November’s figure had marked the highest reading since April 2014 as political uncertainty diminished following the landslide victory of President Recep Tayyip Erdogan’s Justice and Development Party (AKP) in the 1 November general election. Nevertheless, consumer confidence still remains far below the 100-point threshold that separates pessimistic from optimistic territory.
December’s result came on the back of a broad-based improvement as all but one of the components of the index deteriorated. Consumers were much more pessimistic regarding their economic situation in the next 12 months as well as their job prospects. Moreover, households were more pessimistic about their financial situation in the next 12 months. On the upside, consumers’ views on their probability of savings in the next 12 months improved in December and hit a 10-month high.