In spite of multiple economic and political challenges, migration crisis and geopolitical complications, the level of optimism in Europe and USA had grown in Q3 2015. An increase has also been noted in relation to people’s readiness to spend money on their lifestyle.
The level of optimism of Latvian consumers, on the other hand, is not so good – the index of general satisfaction has decreased by five points, to 74.
The mood of consumers around the globe is measured by international information and measurement company Nielsen. Values above 100 mean the general mood is optimistic and any value below it shows pessimistic mood of residents. The overall level of satisfaction is dictated by three main indexes – people’s expectations for employment for the near future, personal financial state and people’s ability to afford bigger purchases.
Healthcare is the biggest concern for the majority of Baltic residents (29% in Latvia, 33% in Estonia and 41% in Lithuania). Concerns about possible warfare have declined throughout all Baltic States over the course of Q3 2015 (13% in Latvia, 10% in Estonia and 5% in Lithuania). With that said, a new tendency has surfaced – the fear of refugees and matters related to their arrival. This aspect, which had surfaced for the first time in Q2 2015, has become one of the main sources of concern for residents in Q3 2015. Concerns regarding possible terrorist threats have increased in many European member states in Q3 2015.
The optimism index of American resident has experienced growth by 18 points, reaching 119 in Q3 2015. It is reported that this index is the highest it has been in the past decade. With that, USA stands on the second place among the most optimistic countries. India stands as the most optimistic country with 131 optimism index.
Europe’s general level of optimism has been increasing over the past three quarters. Optimism growth is noted in 21 out of 32 countries, forming an average index of 81 for Europe, which is also the highest since 2008. Optimism has grown the most in Poland (80; growth by 10 points) and Portugal (66; growth by 9). Germany’s index has reached 100 this year. UK’s optimism level has been on a rise for the seventh consecutive quarter, reaching 103 – the highest in the survey’s history. Nordic countries, however, have demonstrated reluctance – the index has declined in all Scandinavian countries, Latvia and Estonia. Only Lithuania has experienced a five-point increase, reaching 88 in Q3 2015.
56% of respondents around the world believe their home country remains in economic recession. Latvia demonstrates one of the highest indexes in this regard – 70% of respondents agree, which is 51% more than Q2 2015. The mood is similar in Canada (71%; by 25% more than the previous quarter), Russia (79%), Ukraine (96%), Hong Kong (56%) and Malaysia (89%). In spite of this pessimistic outlook, the readiness of consumers to spend money on individual purchases continues to grow.