Consumer confidence rises slightly in March

PALMA
SPAIN'S consumer confidence index rose to 72.7 points in March from 71.1 in February, but was still well below the 100 mark that indicates consumer optimism.

Figures from the Official Credit Institute yesterday showed the index continuing a steady rise from an all-time low of 46.3 in July last year, and compared to 53.7 in March last year. “The increase in the Consumer Confidence Index can be interpreted as another lateral movement connected to the recovery trend which has been in evidence since the first quarter of last year,” said the institute.

Unlike other European economies such as France and Germany, Spain is still struggling to escape recession and the government has forecast the economy to shrink another 0.3 percent this year.

But positive indicators have included Markit's Spanish Manufacturing Purchasing Managers' Index (PMI), which rose to 51.8 in March from 49.1, showing manufacturing grew for the first time since November 2007.