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Consumer Confidence in Pakistan Hits 6-Year High

Pakistan’s consumer confidence hits a 6-year high, signaling strong economic revival and rising public optimism across the nation.

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Consumer Confidence in Pakistan Hits 6-Year High

A vendor displays the rice quality on a wholesale shop at a market in Karachi, Pakistan, on April 3, 2025. [AP. File]

June 4, 2025

Islamabad, June 2, 2025 – In a dynamic economic shift, Pakistan has reached a six-year peak in consumer confidence, signaling a pivotal moment in its journey toward economic revitalization. The latest Ipsos Consumer Confidence Survey reveals that belief in a positive national trajectory is growing rapidly, reshaping public sentiment and expectations.

Public Outlook Shifts Dramatically

According to the survey, 42% of Pakistanis now believe the country is on the right path, a stunning rise from just 2% a year ago. For the first time in six years, national morale has overtaken widespread doubt. This transformation in public perception reflects increasing trust in the country’s leadership and policy direction.

Several key metrics underpin this upbeat outlook. For instance, assurance in job security has climbed to an all-time high of 30%. Meanwhile, 37% of respondents anticipate that economic conditions will improve within the next six months. Additionally, 29% consider the current economy strong, a level not seen since 2019.

Spending Sentiment and Financial Stability Strengthen

Citizens are not only feeling more hopeful, they are acting on it. The willingness to make major purchases has doubled compared to last year, suggesting growing financial assurance. Comfort in daily household spending has also surged, now standing at 19%, nearly twice the previous figure.

At the same time, concerns over inflation have eased, dropping by 7 points. Similarly, fears of unemployment have lessened by 4 points, indicating growing strength in the labor market. These developments reflect increasing economic resilience and a return of trust in the market’s stability.

Moreover, the Pakistani rupee has stabilized against global currencies, further reinforcing public belief in the nation’s financial direction. This is complemented by stronger foreign exchange reserves and a boost in remittances, which continue to inject essential foreign capital into the economy.

Structural Reforms Drive Economic Resilience

Beyond surface trends, deeper structural factors are contributing to this upward momentum. IMF-backed reforms and strict fiscal discipline have provided much-needed stability across key indicators. These efforts have encouraged the private sector, which now shows an improved investment outlook.

Expanded access to credit is also playing a pivotal role in sustaining consumer activity, while broader financial inclusion is enabling growth beyond urban centers. Importantly, rising morale is especially pronounced among women, youth, and rural communities demographics that often serve as reliable indicators of widespread economic inclusion.

Also SEE : Food Import Bills Hit $7bn

Consequently, this surge in belief, spending readiness, and market strength points to more than just a temporary shift as per consumer confidence in Pakistan. It signals a reawakening a renewed national drive toward long-term economic growth and resilience.

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