Irish consumer sentiment at highest level since 2001

Irish consumer sentiment climbed to a 15-year high in January, according to survey results published on Monday.

The survey, conducted by the KBC Bank Ireland and the Economic and Social Research Institute (ESRI), indicated that the overall consumer sentiment index rose to 108.6 last month from 103.9 in December, taking it to its strongest level since February 2001.

Daniel Foley, a research assistant from the ESRI, said January's consumer sentiment index showed that consumer confidence continues to remain positive.

But he said there were mixed views in relation to consumer's expectations in January.

"There were worsening perceptions of the outlook for the labor market and economic conditions over the next 12 months. However, this was offset by an increase in consumer's expectations about their personal financial situation 12 months from now," he added.

He also said the largest gain this month was the component of the survey related to consumer's perception of the current buying climate.

"The buying climate strengthened in January indicating that household's feel more confident with regard to decisions involving major household purchases."

The survey attributed the improvement in Irish consumer sentiment in January largely to domestic developments. But the survey also noted some concerns about weaker economic prospects as well as the decline in stock markets. Enditem