UAE ranks third in consumer confidence survey

Consumer confidence in the UAE is the third highest in the South Asia Middle East and Africa (SAMEA), according to a survey by MasterCard International.

The new economic policy team, infrastructure development and telecoms deregulation are key factors that helped the UAE improve its position compared with previous surveys.

The survey was introduced in May 2004 and is being carried out in the UAE, Egypt, Kuwait, Lebanon, Saudi Arabia, India and South Africa.

The UAE's consumer confidence improved by 9.9 points to 92.9 points.

While Kuwait ranked top in consumer confidence with 94.6 points, up four points from 90.6 in the August 2004 survey, Saudi Arabia scored 93.2 points against 98.4 points.

The research study conducted in two waves, in February and August, by surveying 400 respondents in each market, evaluates five factors employment, economy, regular income, stock market and quality of life.

"The three Gulf states Kuwait, Saudi Arabia and the UAE all scored record figures on the MasterIndex, above 90 out of 100, and all three indices were up, year-on-year," said David Butter, senior economist and Middle East analyst, Economist Intelligence Unit, based in London.

He said the high oil prices, resurgent development spending, growth in intra-regional tourism and the growing trend towards holding funds within the region have all contributed to the optimism reflected in the MasterIndex survey.