In its consumer confidence survey, the RBI in its report dated April 7 said that there has been a drop in the confidence during the period under review. The survey was carried out via field interviews during February 27 and March 8, 2021 in thirteen of the major cities includingAhmedabad; Bengaluru; Bhopal; Chennai; Delhi; Guwahati; Hyderabad; Jaipur; Kolkata; Lucknow; Mumbai; Patna; and Thiruvananthapuram.
The data pertains to expectations as well as perceptions on general economic situation, employment condition, inflation levels and own income as well as spending details were obtained from as many as 5372 families across these cities.
Here are the highlights of the released survey result:
Consumer confidence for the current period weakened in March 2021 as the current situation index (CSI)3 dipped further in the negative territory on the back of deteriorating sentiments on general economic situation, income and prices.
In the future expectations index which puts focus on the anticipation for the future there is shown less of optimism. Though, the forecast of one-year ahead is optimistic in respect of all of the economic indicators except for price.
With higher essential spending vis-a-vis a year ago, most consumers reported higher overall expenditure, which is expected to increase further in the coming year despite continuing moderation in discretionary spending .