Panamanian consumer confidence is plummeting

The expectations of Panamanian consumers regarding the economic situation in the country and their homes, as well as the probability of finding a job and saving money, are at the level of distrust, according to Panama Index of Consumer Confidence (ICCP).

According to the measurement from May, it reached 88 points, with a drop of 6 units compared to the record from March this year, when it reached 94.

Despite the fact that there is a slight improvement in the perception of unemployment, confidence in the future situation of the country’s economy is discouraged, said Domingo Barrios, president of The Marketing Group, presenting a survey measured by the ICCP.

According to Barrios, this situation indicates that it is not going in the right direction to create a sense of participation in the economy among consumers.

For his part, Adolfo Fábrega, president Chamber of Commerce, Industry and Agriculture of Panamahe emphasized that encouraging numbers were seen at the beginning of the year, which led to thinking about favorable prospects.

“We thought there would be an upward trend, but in the recent measurement in May we see a downward trend and significant consumer distrust,” he said.

According to Fábrega, this mistrust may stem from the fact that it is an election year, but it is important that unemployment continues to show a downward trend.

He also commented that in terms of private sector investment confidence, it is crucial to know the proposals in the current election period.

An indicator of the perspective of the general economic situation in the country for the next 12 months recorded 83 points, which represents a drop of 24 points, compared to March 2023.

“This indicator represents a decline in consumer confidence about the country’s economy in the future,” the Chamber of Commerce reported.