Nielsen: Pakistan Consumer Confidence Highest Since 2008
Here's an excerpt of Nielsen's report Africa/Middle East region that includes Pakistan:
"Consumer confidence in the Africa/Middle East region declined in the fourth quarter, falling four points to 83, the lowest level in more than three years. Confidence was highest in United Arab Emirates, which held steady from the third quarter at 108. Pakistan was the only country where consumer confidence moved in a positive direction, rising five points from the third quarter to 106, the highest score for the country since it was added to the survey in 2008."
The share of Pakistani respondents worried about job security dropped to 21%. 51% of Pakistanis said they are optimistic about better job opportunities in the next 12 months, according to the survey.
“The findings of the consumer confidence reflect a favorable atmosphere in Pakistan. The set of factors that influence the confidence levels of Pakistani consumers goes beyond economics and business, and is reflective of improved security conditions, increased energy availability and low inflation rates,” reported the survey.
“China-Pakistan Economic Corridor (CPEC) has also led to a higher activity in large-scale manufacturing and construction, opening more investment opportunities,” said Nielsen Pakistan Managing Director Quratulain Ibrahim, according to Pakistan's Express Tribune newspaper. “We hope to see this optimism among Pakistani consumers during the coming months.”
Pakistani banks have boosted lending to businesses and consumers. Large-scale manufacturing sector borrowed Rs. 225 billion in 2016, up from Rs 119 billion in 2015. Consumer loans have jumped from Rs. 29 billion in 2015 to Rs. 70 billion in 2016. Auto financing soared 32% to Rs 30.7 billion in 2016, according to the State Bank of Pakistan as reported by Daily Times.
Pakistani consumers and business are feeling increasingly confident with improved overall security, rising foreign and domestic investments and better employment prospects. They are earning, borrowing and spending more to further stimulate the economy thereby creating a virtuous cycle. Low oil prices and relatively subdued inflation are also helping. It's now up to Pakistan's political, economic and military leadership to maintain this growth momentum.
Pakistan's Economy and Security in 2016
Credit Suisse Global Wealth Report 2016
Pakistan's Middle Class Larger and Richer Than India's
Pakistan Translates GDP Growth to Citizens' Well-being
Rising Motorcycle Sales in Pakistan
Depth of Deprivation in India
Chicken vs Daal in Pakistan
China Pakistan Economic Corridor