Consumer confidence returns to pre-recession levels

Consumer confidence in Switzerland is on the rise and is reaching levels not seen since before the recession at the beginning of the 1990s. Households are also optimistic about their future prosperity.

A survey of 1,100 households by the Swiss State Secretariat for Economic Affairs in Berne shows that the index of consumer confidence is at its strongest for 10 years. In July it reached 21 points, up from an already high level of 19 in April.

Only 15 months ago, the reference index was hovering around the zero mark.

The Secretariat attributed the more optimistic attitudes to what it said was a “remarkable improvement” in how households view employment security. That index registered a positive figure ( 5 points) for the first time in 10 years.

Households were also found to be much more upbeat about the economy in general and most reported they were able to save money.

However, the Secretariat added a caveat, saying that in July households were more reluctant to make large outlays for such things as cars, furniture and electric appliances than they were three months ago.

It reported, too, that households were concerned about rising prices. There are also fears that inflation will increase.

swissinfo with agencies