The Household Confidence Index (HCI), whose components relate to the perception of changes in the standard of living, unemployment, the opportunity to purchase durable goods and the financial situation of households, stood at 77.8 points in Q4-2019 instead of 79.8 points a year earlier and 74.8 points recorded the previous quarter, according to the Office of the High Commissioner for Planning (HCP).
Indeed, in the fourth quarter of 2019, some 43% of households report a deterioration in the standard of living over the past 12 months, 34% a maintenance at the same level and 23% an improvement, according to the HCP in an information note on the results of the household survey at the end of 2019.
The balance of opinion on past changes in living standards remained negative, at minus 20 points, compared to minus 20.2 points in the previous quarter and minus 13.3 points in the same quarter last year, adds the same source.
In addition, 28.8% of households expect the standard of living to deteriorate over the next 12 months, 44.5% expect it to remain at the same level and 26.7% expect it to improve. The balance of opinion on this indicator rises to minus 2.2 points instead of minus 3.7 points in the previous quarter and 9 points in the same quarter of 2018.
Regarding the perception of unemployment trends, 79.5% versus 7.9% of households expect unemployment to increase over the next 12 months, the same source reported, noting that the balance of opinion remained negative at minus 71.6 points compared to minus 71.8 points a quarter earlier and minus 70 points a year earlier.
Regarding the purchase of durable goods, some 55.6% compared to 26.3% of households consider now is not a good time to “buy durable goods”.
The balance of opinion for this indicator remained negative at minus 29.2 points compared with minus 37.7 points in the previous quarter and minus 36.7 points in the same quarter of 2018.
The survey also shows that 65.6% of households believe that their income covers their expenses, 30.4% say that they take on debt or draw on their savings and 4% say that they save part of their income. The balance of opinion regarding the current financial situation of households thus remained negative, at minus 26.4 points against minus 29.5 points in the previous quarter and minus 28.4 points a year earlier.
As for the evolution of their financial situation over the past 12 months, 31.4% versus 9.3% of households consider that it has deteriorated. This perception thus remains negative, with a balance of opinion of minus 22.1 points, an improvement compared to the previous quarter when it recorded minus 26 points and a deterioration compared to the same quarter of the previous year when it recorded minus 20.7 points.
Regarding the development of their financial situation over the next 12 months, 27.6% versus 11.7% of households expect their financial situation to improve. The balance of opinion on this indicator recorded 15.9 points compared with 12.8 points one quarter earlier and 19.1 points one year earlier.