Ireland: Consumer confidence rises to a near five-year high in August
August 28, 2012
In August, the KBC Bank Ireland/ESRI Consumer Sentiment Index rose 2.3 points over the previous month to 70.0 points, which followed the 5.4-point increase observed in July. Building on the monthly climb, consumer confidence hit its highest level since October 2007. According to the survey, "the continuing improvement in consumer sentiment is very encouraging" and "it probably owes quite a lot to the possibility that ECB interest rates could fall further and remain low for quite a while". The consumer expectations index improved over the previous month, suggesting better prospects over the next 12 months. The current economic conditions index, however, fell in August, as consumers have become slightly more negative about their current financial situation, as well as about their ability to purchase durable goods.