RBI’s Consumer Confidence Survey,78% Worried For Jobs

RBI’s Consumer Confidence Survey, 78 percent believed that the employment situation has deteriorated. The way Covid-19 has destroyed economic activities all over the world, there is increasing fear among the general public. Especially after the last two months, ie May 2020, there is also an increased risk of people losing their jobs, and fear of loss of income has also increased.

Therefore, the number of people who cut expenses has also increased. This is revealed by the Consumer Confidence Survey conducted by the Reserve Bank of India. RBI’s survey, conducted among 5342 families in 13 cities of the country, is the largest survey conducted by any trusted agency in recent times.

The central bank conducts such surveys every two months. On this basis, RBI also helps in conducting monetary policy review. A new RBI’s survey showing the status of the last year. According to this, 77.8 percent of the people surveyed in July 2020 has admitted that the current situation has already deteriorated. Whereas a year ago, there was 38.4 percent of people with such sentiments.

In July 2019, 37.4 percent of people had said that their situation has already been corrected while in July 2020, there is only 11.9 percent who believe so. Even in the Corona era i.e. March 2020, 52.3 percent of people had believed that their situation had deteriorated.

In July 2020, 78.1 percent of people have said that the employment situation has deteriorated whereas in May 2020, 67.4 percent, in March 2020, 55.7 percent believed it. In July 2019, 45.6 percent of people had said that the employment situation has deteriorated.

The question is asked about the situation in this survey for one year. Looking at this figure, 44.3 percent of people believe that the situation will improve and 42.2 percent of people believe that the situation will worsen. There is an improvement in the confidence of the people here compared to May 2020.

This can be seen by combining the unlock-one and two implemented by the government to make the economy normal. An important question in this survey is related to income and expenses. The figures released are the same as unemployment based on the people who have responded to it.

In the latest figures (July), 62.8 percent of people have said that their income has decreased and 17.2 percent have said that they have reduced expenses. In March 2020, 24.9 percent had said that their income had decreased and 3.4 percent had said to reduce expenses. It is evident that as the influence of Kovid-19 increases, the mood of people has changed. Now that the economy is continuously opening, it may be that the situation will change in the next survey.