ECONOMYNEXT – Consumer confidence in Sri Lanka saw significant improvement in March despite pessimistic sentiment overall, suggesting the island nation’s agreement with the International Monetary Fund (IMF) has lifted perceptions, a survey has found.
The Institute for Health Policy (IHP) said in a statement on the latest findings of its consumer confidence survey that there was broad improvement in consumer sentiment in March, during which the IMF approved new funding for Sri Lanka.
“This led to all three of IHP’s Consumer confidence indices significantly improving, although all remain at pessimistic levels. The Index of Consumer Sentiment (ICS), the broadest measure of the public’s view on their personal economic status and the national economy increased 4 points to 16 points. The ICS ranges from zero to a potential maximum 100, with levels below 50 indicating net pessimism,” the statement said, on Monday April 17.
“The Index of Consumer Expectation (ICE), a measure of perceptions about the future, improved 5 points to 22 points, but the Index of Consumer Conditions (ICC), a measure of perceptions about current conditions increased only 2 points. In contrast, views about current buying conditions remains unchanged in March, which were at very low levels (below 10 points) indicating consumer demand for large purchases will remain very low,” the statement said.
The IHP’s consumer confidence indices are generated from its Sri Lanka Opinion Tracker Survey (SLOTS), which combines data from a national sample of adults (ages 18 and over) reached by random digit dialling of mobile numbers, and others coming from a national panel of respondents who were previously recruited through random selection. All consumer confidence index estimates are weighted to be representative of the national population, including characteristics such as age, gender, province, sector, socioeconomic status, ethnicity and education, the IHP said, explaining its methodology.
According to the statement, funding for the opinion tracker comes from the Neelan Tiruchelvam Trust, the UK National Institute for Health and Care Research (NIHR), the Asia Foundation, and others. The sponsors play no role in the study design, analysis, or interpretation of findings, the IHP said, adding that interested parties can contact IHP for more detailed data and results. (Colombo/Apr17/2023)