The High Commission for Planning has released the findings of its household economic survey for the last quarter of 2024. While a few indicators suggest minor improvements, the overall economic landscape remains tough, reflected in the continued negative perceptions of households.
The Household Confidence Index (HCI) reached 46.5 points this quarter, showing a slight increase compared to 46.2 points in the previous quarter and 44.3 points in the same period last year. Although this progress is modest, it indicates a fragile sense of stability in an otherwise challenging economic environment.
Household sentiment regarding living standards continues to paint a grim picture. A striking 81% of respondents believe their standard of living has worsened over the past year, and over half (53.8%) expect it to decline further in 2025. Nevertheless, there is a small silver lining: the balance of opinion on this indicator has slightly improved, rising from -49.3 points in the previous quarter to -46.1 points now.
Concerns about job prospects remain a constant source of anxiety. An overwhelming 82.7% of households anticipate a rise in unemployment over the next 12 months, while a mere 5.5% foresee a decline. The balance of opinion for this indicator dropped further to -77.2 points, reflecting entrenched pessimism about the labor market.
For most households, now is not the time for major purchases. Around 80% of respondents consider the moment unfavorable for investing in durable goods. Saving, too, appears out of reach for the majority, with 88.9% of households stating they don’t expect to save in the coming year.
Rising food prices remain a sore spot for nearly all households surveyed. Over 83% expect this trend to continue, compounding the financial insecurity already felt by 41.2% of respondents. This widespread concern over soaring prices fuels a sense of economic vulnerability.
When it comes to public services, households report mixed perceptions. Administrative services showed a slight improvement, achieving a positive balance of 38.4 points. However, satisfaction with environmental protection efforts declined from 32.8 points in 2023 to 28.8 points in 2024. Education and healthcare fared the worst, with significant negative scores of -39.8 and -48.8 points, respectively, revealing growing dissatisfaction among households.
While a few indicators, like the HCI and administrative services, suggest faint signs of progress, the overall picture remains bleak. From declining living standards to fears of unemployment and soaring food prices, the challenges for households in 2024 were significant. With more than half of respondents expecting things to worsen in 2025, policymakers face mounting pressure to address these persistent issues.
