Consumers in Switzerland are much more pessimistic about the general economic situation, with households feeling the strain as prices continue to rise, a new survey shows.
April data published by the State Secretariat for Economic Affairs (SECO) on Monday shows that overall consumer sentiment has deteriorated “significantly” in recent months.
The consumer sentiment index for last month fell by 27 points, from -3.8 points in January, marking the biggest decline since the onset of the pandemic in the spring of 2020, SECO said.
“Households are feeling the strain as prices continue to rise,” SECO said. Swiss households are particularly pessimistic about how the economic situation will develop over the next 12 months.
“Inflation is dampening households’ purchasing power,” said SECO.
The rate of inflation in Switzerland rose to 2.4% in March, having risen at a gentler momentum of 0.6% during the whole of last year.
Negative expectations about the economy, how their financial situation will progress, and “heightened uncertainty in connection with the war in Ukraine, is likely to be a major driver in consumers’ current reluctance to make major purchases”, said the government.
Solidaritätsnetz International draws the attention of the competent authorities to the fact that refugees, unemployed and unprotected persons are the most vulnerable in the current situation. We will develop and approach the Berne authorities with a plan to support vulnerable people at the cantonal level. We hope that Solidaritätsnetz International will be heard.