Saudi Arabia witnessed a rise in consumer confidence in May 2024, with the country ranking first when it comes to the current state of its economy. The latest Ipsos May 2024 Primary Consumer Sentiment Index (PCSI) in Saudi Arabia reveals that the index rose to 72.7 in May from 71.9 during the previous month.
Consumer confidence surpasses major economies
Saudi Arabia’s consumer confidence is significantly higher than the global average PCSI of 50.2. The Kingdom’s financial and economic expectations also rank higher than many other countries, indicating a particularly strong consumer sentiment in the country.
The survey reveals that 73 percent of individuals in Saudi Arabia believe that the economy is strong. The Kingdom also leads in the belief that the country is heading in the right direction with 95 percent of respondents sharing that sentiment. This is one of the highest confidence levels globally, surpassing major economies like China (91 percent) and India (78 percent).
Personal finances stronger
Regarding personal finances, 45 percent believe their financial situation is strong while 75 percent feel more comfortable with their ability to invest in the future compared to six months ago. Looking ahead to the coming six months, the majority of participants shared a positive outlook, with 87 percent expecting the economy in their local area to be stronger than it is now.
Read | Riyadh ranks among 15 fastest-growing cities in the world by 2033: Report
Job security confidence remains robust
Confidence in job security remains robust, with 78 percent of respondents in Saudi Arabia feeling more secure about their jobs compared to six months ago.
Meanwhile, confidence in the ability to make major purchases, like homes or cars, has increased. Notably, 77 percent feel more comfortable making big purchases compared to six months ago. Similarly, 75 percent are more confident in their ability to invest in the future, including saving for retirement and children’s education.
The top five concerns for consumers are inflation (44 percent), unemployment and jobs (30 percent), taxes (28 percent), climate change (26 percent), and COVID-19 (21 percent).
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