Policy shift helps buoy consumer confidence

Source: Xinhua | 2019-01-24

Consumer sentiment remained stable last year, underpinned by a government policy shift that is steering the economy from high-speed growth to high-quality growth.

The Nielsen China Consumer Trend Index saw steady growth at 113 points in 2018, up one point from a year earlier.

Nielsen’s Consumer Trend Index saw strong performances in all three components: job prospects jumped to 75 points from the previous year’s 70; willingness to spend added three points to 60; and the personal finance sub-index was steady at 69.

“As the country’s favorable policies on trade, private companies, micro- and-small enterprises gradually take effect, the Chinese economy shifted away from high-speed growth to high-quality growth in 2018,” said Andy Zhao, president of Nielsen China.

The index in rural areas and third-tier cities edged up by two points and one point respectively. In other areas, it was mainly stable. The index has a baseline of 100 points. Above that indicates optimism; below that, pessimism.

Nielsen said job prospects led the growth of the overall index, rising to 74 points for the last quarter from 73 in the previous quarter. Personal finance and willingness to spend remained stable through the quarter at 67 points and 58 points respectively.

“As the supply-side structural reform advances, the economic structure is being optimized, the new economy is gradually expanding and fresh economic drivers are replacing the old ones," Zhao said.

“China’s economy has continued a steady run. In the future, the China Consumer Trend Index will remain stable.”