Thu, April 23, 2009
Consumer confidence fell 7 percentage points in the last six months, and job security topped concerns among the Chinese, a Nielsen survey revealed on Wednesday.
China's consumers were, however, more confident than their counterparts elsewhere in the world, especially those in other BRIC economies (Russia, India and Brazil) that have all seen double-digit drops in consumer confidence.
"The central government's stimulus package of $585 billion, or 13.3 percent of the GDP, is an enormous shot in the arm for Chinese consumer confidence," said Mitch Barns, president of Nielsen Greater China.
Yet, job security has turned into the key worry for Chinese citizens, said Barns. Around 76 percent of Chinese said job prospects were 'bad' or 'not so good' for the next 12 months, up 21 percentage points from October 2008.
According to the Nielsen survey, many Chinese consumers now believe the next 12 months could be a good time to return to investing in stocks and property.
Though the growth of China's economy has undoubtedly slowed, data from the National Bureau of Statistics showed that retail sales in February were still 15 percent up year-on-year.
