Korea: Consumer confidence reaches highest level in nearly three years
November 27, 2013
In November, the Consumer Sentiment Index (CSI) published by the Bank of Korea inched up from 106 points in October to 107 points. The reading marks the highest value in nearly three years. The index is still above the 100-point threshold, which indicates that consumers are more optimistic than pessimistic.
According to the Bank, consumers' views regarding their current economic situations as well as their living standards improved compared to the previous month. In addition, an improvement was recorded in consumer sentiment regarding the country's current economic conditions. Conversely, their opinions on prospective changes in household income remained unchanged over the previous month.
FocusEconomics Consensus Forecast panelists expect private consumption to expand 1.8% this year, which is unchanged from last month's forecast. For next year, the panel sees private consumption accelerating to 2.7%, which is also unchanged from last month's estimate.
Author: Ricardo Aceves, Senior Economist