1 Mar 2019

Consumers remain upbeat about economy, index shows

12:41 pm on 1 March 2019

Consumers are still upbeat despite wariness about the overall economic outlook.

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Photo: 123RF

The ANZ-Roy Morgan Consumer Confidence Index fell one point to 121 in February, with confidence steady around the historical average.

Consumers were more confident about current conditions than they were about the future.

The Current Conditions Index lifted two points to 126, while the Future Conditions Index eased three points to 117.

ANZ senior economist Liz Kendall said the number of consumers who thought it was a good time to buy a major household item suggested the drop in Auckland house prices was not having much affect on the willingness to spend.

However, recent consumer and business confidence surveys indicated the economy had lost momentum, limited by high levels of household debt and slower population growth.

The bank is forecasting economic growth of 2.5 percent over the next two years.