Norway's consumer confidence fell to its lowest level in 23 years in the fourth quarter as the drop in crude oil prices continued to hit western Europe's top energy producer, financial lobby group FNO said on Tuesday. It was the first time the survey had recorded a lower confidence level among consumers in Norway than the average reading of similar surveys for the EU itself, FNO said.
The confidence index fell to minus 11.3 points in the current quarter on a seasonally adjusted basis from a revised minus 6.5 points in the third. The third quarter reading was originally reported at minus 4.1 points. The price of North Sea oil has fallen by around 60 percent since June 2014, triggering cuts in investments by energy firms and a moderate rise in Norwegian unemployment to 4.6 percent.
A large majority of those surveyed said the economy had deteriorated in the last 12 months and would continue to do so in the coming year, yet remarked that their own personal finances were unlikely to be hit. "Those who have safe jobs and a stable income will see an improvement in their purchasing power in the next year due to wage growth and low mortgage rates," FNO Chief Executive Idar Kreutzer said in a statement. The fourth-quarter consumer confidence reading was the lowest since the fourth quarter of 1992.
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