South African consumer confidence hits record high
South Africans have expressed optimism over their country's economy as consumer confidence has reached new heights, a new report has revealed.
First National Bank (FNB) and the Bureau for Economic Research found that consumer confidence grew by 5% in the first quarter of 2007, up to +23 - the highest level seen during the index's 25-year existence.
The organisations report that confidence increased in nearly every measure proposed to consumers, with many expecting their household incomes to increase in conjunction with improved economic prospects.
Cees Bruggermans explained that there are several reasons why consumer confidence in South Africa is at record levels.
"The president's state of the nation address, the budget speech, the steady interest rate, the lower petrol price at the time of the survey and strong job creation generally made consumers more optimistic about the prospect for the economy and their own finances," he remarked.
The survey included the responses of 500 South Africans who answered three questions concerning the current state and prospects for the economy.
Recently, the South African Revenue Service reported strong income tax receipts, which it attributed to the strength of the economy.
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