Consumer confidence in Dubai rises in Q4

Consumer confidence in Dubai rose during the fourth quarter of 2011 compared to the previous quarter, according to the Department of Economic Development (DED).

Its consumer confidence index increased 15 points to 125, boosted by a 22 percent rise in respondents' optimism of an economic recovery over the next 12 months.

The index showed that 79 percent of consumers had a positive outlook on personal finance, and 70 percent see the job situation improving over the same period.

Perceptions on the state of economy also showed a clear improvement during Q4 with more than 60 percent of respondents expressing optimism.

Public sector employees were more positive about job prospects and personal finance and two third of the consumers feel that now was a good time to buy things they want and need.

Increasing food prices, utility bills and job security were among the top concerns for consumers, according to DED's index.

The index is based on consumer responses to questions regarding local job prospects, personal finances and suitability of making purchases. It aims to evaluate consumer impressions on the state of the economy and the key drivers of consumer behaviour.

Sami Al Qamzi, director general of DED, said: "A clear understanding of consumer response to economic conditions and their expectations will help governments and business owners in economic planning and decision-making as well as in enhancing transparency and overall business competitiveness in Dubai."