November 2023 | CCI declines
04 December 2023

The upward trend reversed. The Consumer Confidence Index lost its rising trend and fell by 3.7 index points, moving from -16.4 in October to -20.1 in November. Both the Present Situation Index and the Expectations Index contributed to this decline, with the Present Situation Index declining by 5 index points, while the Expectations Index decreased by 2.4 points.

Notably, several CCI indicators led to the decrease. To start with, there was a m-o-m decline in consumer expectations about making savings – 68.3% of respondents believe that it is unlikely they will make any savings within the upcoming year. Furthermore, their ability to make savings has declined – as the share of consumers running into debt increased from 17.4% to 21.1%.

Additionally, fewer consumers think that now is a good time to make major household purchases. While the majority of respondents consider it is neither a good nor bad time to make such purchases, 36% hold a negative sentiment and believe it not to be a good idea at present. This is quite probably linked to the upcoming holiday season, where consumption is often oriented towards other types of expense.

Tbilisi vs. the regions. Overall, the CCI for residents of Tbilisi and the rest of Georgia declined at a similar rate. The CCI among the Tbilisi population declined by 4.2 index points, while for the remaining population the decline in CCI was 3.6 index points. However, the above-mentioned indicators worsened more so among residents throughout the rest of Georgia, which is in line with general trends showing that CCI indicators in the regions are usually lower than in Tbilisi.


BAR CHARTS: Consumer Responses by Questions

Note: Starting in July, the CCI underwent minor shifts in methodology. Specifically, the questionnaire was slightly modified, in terms of how questions were formulated when conducting a survey.