At a time of gloom in most countries, consumer sentiment ticked up in March, according to the latest LSEG-Ipsos Primary Consumer Sentiment Index (PCSI) report. The report indicates that consumer confidence in India has increased by 2.2 percentage points, with a substantial boost in sentiment surrounding the economy and employment.
India has claimed the top spot among 30 markets surveyed globally, with a National Index score of 60.2 - making it the only country to score above the 60-point mark. This represents a two-place improvement in the rankings compared to previous surveys.
The report comes at a time when various manufacturers and sellers of consumer goods, including auto brands, have reported tepid buyer sentiments, leading to poor sales and compressed margins.
Across all four sub-indices measured in the report, India displayed positive growth. The PCSI Economic Expectations sub-index jumped by 5.6 percentage points, while the Employment Confidence sub-index surged by 4.4 percentage points. The Current Personal Financial Conditions sub-index increased by 0.9 percentage points, and the Investment Climate sub-index showed a modest uptick of 0.2 percentage points.
Amit Adarkar, CEO of Ipsos India, commented on the findings: "The economic indicators are positive, fueled by domestic demand and resilience displayed by India Inc, despite the tough global macro indicators and the environment. Hiring is also picking up with the job index displaying a major upswing."
Adarkar highlighted that these positive developments are particularly significant given the challenging economic conditions experienced globally in 2024. "These are good signs, as 2024 was an extremely tough year for both jobs and the economy, as the world grappled with the polycrisis of wars and global economic slowdown," he said.
The report further indicates that consumer sentiment is improving around personal finances, investments, savings, and discretionary spending, with this momentum expected to continue through the upcoming harvest season in April.
The monthly survey was conducted between February 21 and March 7, 2025, sampling over 21,000 adults under the age of 75 from 29 countries on Ipsos' Global Advisor online platform. Nine other countries also scored above the 50-point mark on the National Index, including Indonesia (58.5), Malaysia (58.4), and Mexico (58.1).
This rising consumer confidence signals a potentially strong outlook for the Indian economy as it continues to navigate global economic challenges while maintaining robust domestic growth.
The monthly sample consists of 1,000+ individuals each in Australia, Brazil, Canada, France, Germany, Great Britain, Italy, Japan, Spain, and the U.S., and 500+ individuals in each of Argentina, Belgium, Chile, Colombia, Hungary, Indonesia, Israel, Malaysia, Mexico, the Netherlands, Peru, Poland, Singapore, South Africa, South Korea, Sweden, Thailand, and Türkiye. The sample in India consists of approximately 2,200 individuals of whom 1,800 were interviewed face-to-face and 400 were interviewed online.