Consumer confidence in Abu Dhabi rose during the first quarter of the year, data released yesterday from the Abu Dhabi Department of Economic Development (Added) showed.
Sentiment, as measured by the emirate’s general index of consumer confidence, increased to 145 points, compared with 128 points during the first quarter of last year. The index stood at 139 points during the fourth quarter of last year.
The results reinforce other recent data pointing towards an uptick in business activity and economic growth within the UAE. Monthly purchasing managers’ index data has shown growth in operating conditions within the private sector is outstripping most other emerging markets, while the IMF this week upgraded its growth forecasts for this year and next to 4.75 per cent and 4.5 per cent, respectively. That is up from previous estimates of 4.4 per cent and 4.2 per cent, respectively.
Added’s data showed consumers felt better off. The sub-index assessing people’s financial health increased to 127 points in the first quarter, up from 106 points in the same period of last year.
Many also felt the Abu Dhabi economy was also in better shape. Confidence as measured by that sub-index rose by about 19 points from the first quarter of last year to reach 135 points in the first quarter of this year.
“The index reflects the individuals feeling of the availability of more job opportunities and the increase of income … in light of the significant improvement in the economic performance,” Added said.
Consumers also felt more confident about the future. The index measuring future expectations rose to 174 points, up by about 13 points from the first quarter of last year.
Follow us on Twitter @Ind_Insights