Consumer confidence declines in June

Consumer confidence declines in June

Consumer confidence declines in June

The consumer confidence index that inched up 0.4 percent in May declined by 6.2 percent monthly in June, according to data released on June 22. 

The index, which stood at 81.7 in June 2021, declined from 67.8 in May to 63.4, this month, showed the regular consumer tendency survey conducted jointly by the Central Bank and the Turkish Statistical Institute (TÜİK).

Any index figure above the 100-mark indicates optimism among consumers.

The sub-index, which measures households’ assessment of their current financial situation declined by 8.1 percent on a monthly basis in June, after falling 1.2 percent in the previous month.

Households’ expectations regarding the financial situation in the next 12 months deteriorated significantly with the related sub-index, which advanced 4 percent in May, fell by 10 percent month-on-month in June.

The sub-index measuring households’ expectations regarding the overall economic outlook in the next 12 months declined 7.1 percent in June, which came on top of the 1.5 percent decline in May.

The survey also showed that consumers expect the number of unemployed people and inflation to increase in the next 12 months, while they anticipate an increase in wages over the same period.

Consumer prices increased by 2.98 percent in May, bringing the annual inflation rate from 69.97 percent in April to 73.5 percent last month.

The unemployment rate, meanwhile, increased from 11.2 percent in March to 11.3 percent in April to 3.85 million people, according to the latest data from TÜİK.