Belizeans Confidence in the Economy Decreases

The Consumer Confidence Index (CCI) in Belize fell to 38.9 in September 2024, a significant 10.9% decline from 43.64 in August. This marks the second consecutive month of decreased confidence among consumers after a period of growth. The CCI measures sentiment regarding economic conditions and household financial situations, with a scale ranging from 0 (completely pessimistic) to 100 (completely optimistic). Scores above 50 typically indicate a positive outlook among consumers.

The decline was largely driven by a 34.5% drop in the “durable goods” component, which fell from 37.4 to 24.5. This indicates growing pessimism about making major purchases like homes and cars. Additionally, the “Expectation component decreased by 3.1%, from 53.1 to 51.4, reflecting reduced optimism about future economic conditions. Conversely, the Present sub-index saw a slight increase, rising 0.7% to 40.7, suggesting a marginally better view of current economic circumstances compared to the past year.

Regionally, both urban and rural consumers reported declines, with rural areas experiencing a more significant drop of 16.5%. The durable goods sentiment among rural consumers plummeted by 43.9%. Urban consumers saw a smaller overall decline of 3.1%, primarily due to a 21.6% decrease in their durable goods sentiment. In terms of gender, male confidence decreased by 16%, while female confidence fell by 5.4%.

Consumer confidence also varied by age and ethnicity. The most substantial declines were among those aged 55 and older and 45 to 54, who reported decreases of 20.7% and 20.4%, respectively. In contrast, individuals aged 35 to 44 saw a minor increase in confidence. Among ethnic groups, Maya consumers experienced the largest decline at 15.2%.

These trends reflect growing concerns among Belizeans about their economic situation as 2024 progresses.