The December 2024 Global Consumer Confidence Index (CCI) report is out, and Pakistan’s economic confidence has reached its highest level in three years. The Consumer Confidence Index increased by 0.8 points, marking a positive shift in the country’s economic outlook. The report highlights several improvements that suggest a stronger economy.
One key finding is that the percentage of people who view the economy as “strong” has grown from 4% to 16% over the year. The ease of purchasing essential items like cars and houses has also improved, showing a fourfold increase compared to previous quarters.
Inflation concerns are at their lowest in three years, demonstrating economic stability. Confidence in employment security has risen by 3%, indicating a brighter outlook for jobs. Savings confidence has also improved, with 15% of people expressing optimism about their future financial situation. Additionally, the percentage of Pakistanis feeling comfortable with their daily spending rose from 4% to 10%, reflecting increased financial security.
The report shows growth in three out of the four sub-indices of Consumer Confidence. Despite ongoing challenges, Pakistan’s economy is proving resilient, and consumer optimism is steadily climbing. The recovery aligns with regional trends, pointing to a stable and improving economic environment.
According to the report, Pakistan’s CCI has surpassed previous years, reflecting better economic management and resilience. A remarkable 13% rise in the suitability for purchasing durable goods has been recorded. Conditions for buying houses improved by 10.7%, showing growing long-term financial confidence. Expectations about household financial conditions increased by 10%, reflecting an optimistic outlook for the future.
When compared to other emerging markets, Pakistan shows signs of recovery. Income expectations have improved after a year, further boosting economic optimism. The number of people feeling hopeful about the future economic direction rose by 6%.
The inflation index showed a consistent decline in food and energy categories. Personal financial conditions have significantly recovered compared to 2023, underscoring economic stability and growth. These trends indicate tangible benefits for both households and businesses in Pakistan.
The steady rise in consumer confidence highlights effective economic management and growing public optimism, despite ongoing challenges. Improvements in savings, job security, and purchasing power show increasing resilience among consumers.
The report concludes that Pakistan’s economic indicators are transitioning from stability to sustainable growth. This progress is delivering real benefits at both individual and business levels.
