March 2023 | CCI: Comeback of consumer confidence
23 April 2023

Consumer Confidence Index (CCI) dynamics restored. The CCI rose from -34 in February to -28.8 in March, indicating an increase of 5.2 index points. Both the Present Situation Index and the Expectations Index moved upward in tandem, with a growth of 5.4 and 5 index points, respectively.

Consumers’ willingness to make major household purchases in the future relatively increased. This trend can be attributed to the recent strengthening of the Georgian GEL against the USD, which has increased the purchasing power of the local currency. Consolidation of the GEL is a significant driver behind the increased demand for goods, particularly as most household appliances are imported. While enough time may not have passed for the changes to reflect on the price of goods, the strengthened GEL is likely to have a tangible impact in the future.

Moreover, there has been an improvement in how people feel, currently and in the future, about depositing money in banks. Although the overall indicators are still negative, there has been a comparative rise that can be attributed to both decreasing inflation levels and the appreciation of the lari. 

BAR CHARTS: Consumer Responses by Questions