Strong Eid Sales Confirm Nielsen's Consumer Confidence Data on Pakistan

Eid and Ramzan sales, making up over 40% of annual revenue of retailers in Pakistan, are estimated to have jumped 10-15% this year, according to early data reported in the news media.

Nielsen, a global provider of data on consumers, reports that Pakistan consumer confidence has held steady at 99 for two consecutive quarters. This compares favorably with consumer confidence figures which declined over the previous quarter in the overall Middle East/Africa region. Among the region, UAE led the way for Middle East/Africa consumer confidence with an index of 109, a decline of five points from first-quarter 2014. Egypt (81) reported a drop of six points compared to the first quarter. South Africa posted the only regional confidence increase, climbing three points to 85, and confidence held steady in Saudi Arabia (102).

Global Consumer Confidence Index Report. Source: Nielsen 

More than half (56%) of Middle East/ Africa respondents in Nielsen consumer surveys viewed their personal finances in a positive light which held steady from the first quarter. In Pakistan, 59 percent of the respondents believed the state of their finances was good or excellent, up from 57 percent in the first quarter of this year.

“Pakistani consumers are generally optimistic as seen by mostly high consumer confidence scores over the last three years. However, a score of 99 in the first as well as the second quarter of this year, is the highest we’ve seen since the second quarter of 2011,” said Mustafa Moosajee, Managing Director, Nielsen Pakistan. “This reflects the overall mood in the country, especially relating to economic conditions. The economy is showing signs of recovery but macro challenges remain.”

Pakistan's Nielsen consumer confidence index of 99 is just below 100, a level that indicates optimism. Countries at or above 100 are: China (111), India (121), Indonesia (124), UAE (114), Philippines (111), Thailand (108), Brazil (106), Switzerland (104),  Saudi Arabia (102), Peru (101), United States (100), Denmark (100) and New Zealand (100).

Consumer spending in Pakistan has increased at a 26 percent average pace the past three years, compared with 7.7 percent for Asia, according to data compiled by Euromonitor International, a consumer research firm. Pakistan's rising middle class consumers  in major cities like Karachi, Lahore and Islamabad are driving sales of international brand name products and services.  Real estate developers and retailers are responding to it by opening new mega shopping malls such as Dolmen in Karachi and Centaurus in Islamabad.

Dolmen City, Clifton, Karachi

Here's a recent video of a CNN report on "British Brand Invasion" from Dolmen Mall in Clifton district of Karachi:



 http://edition.cnn.com/video/#/video/world/2013/04/01/mohsin-bristish-brands-in-pakistan.cnn

Pakistan has continued to offer much greater upward economic and social mobility to its citizens than neighboring India over the last two decades. Since 1990, Pakistan's middle class had expanded by 36.5% and India's by only 12.8%, according to an ADB report titled "Asia's Emerging Middle Class: Past, Present And Future.

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Dolmen Mall Clifton Featured on CNN from DHAToday on Vimeo.

Rising consumer confidence is good but not sufficient to boost economic growth to meet the needs of growing population. What Pakistan requires badly now is significant new investments, both foreign and domestic, to overcome the ongoing energy crisis and rejuvenate the manufacturing sector.


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Eid Mubarak; Please Don't Forget Terror Victims

Thousands have died in terror attacks around the world since last Eid-ul-Fitr. They are no longer with us. Tens of thousands have been orphaned, widowed or left disabled with serious bodily or brain injuries. In countries like Pakistan, Afghanistan, Iraq and Syria, almost everyone knows someone whose life has been devastated by extreme violence.

Focusing specifically on Pakistan, about 4000 people have died in terror attacks so far this year, according to South Asia Terrorism Portal. Peshawar, Quetta and Karachi are among the worst affected cities in Pakistan. Minorities, particularly Shias, have been singled out by Taliban's sectarian allies for the most vicious attacks in Quetta and elsewhere.

These figures do not include tens of thousands who have been injured, orphaned or widowed. Many families have lost all their possessions, homes and breadwinners. 

Pakistani security personnel, including soldiers and policemen, have paid with their lives in the line of duty for their fellow citizens. They are the unsung heroes of Pakistan who have received little recognition by the Pakistani leaders and the national media. An exception is a recent Associated Press news story which features several Pakistani soldiers who have lost their limbs or suffered brain injuries in fighting the Taliban.  Here are a few excerpts from it: 

Captain Qasim Abbas had finished a six-month stint fighting the Taliban close to the Afghan border and was heading home to get engaged when the militants struck, ambushing his convoy, pitching his vehicle off a 90-foot cliff and leaving him with brain injuries that make speaking and walking a daily battle. Abbas and the other soldiers recovering at Pakistan's only military rehabilitation hospital are a testament to the human toll from Pakistan's fight against Islamist militants. Their plight receives little attention from Pakistani politicians, possibly because they are afraid of associating themselves with an unpopular fight that many citizens see as driven by the United States. "Fight, fight, keep fighting," Abbas said slowly but with purpose when asked if he had a message for his colleagues still battling the Taliban. He raised his fist in the air to drive home his point.

Captain Kaleem Nasar was part of an operation elsewhere in the northwest in January of this year when he stepped on a bomb. The explosion blew off one of his legs, and the other had to be amputated below the knee. He visited the rehab hospital recently so doctors could work on his artificial limbs. Despite his injuries, he does not regret going to war against the Taliban and hopes he can return to active duty. "I am satisfied I have done something for my country," said the 27-year-old soldier. "If I can go back to that area and serve my country, God willing I will." 

But Waheed, the head of the hospital, is worried that Pakistani troops wounded in battle don't receive enough recognition in the country. None of Pakistan's civilian leaders or other politicians have visited the hospital in the five years he has been running it, he said. 'They need much more recognition because they have done so much sacrifice for the cause,' said Waheed. Waheed contrasted the lack of political attention in Pakistan with a visit he made to Walter Reed Army Medical Center in the U.S. in April. He was there for only five days but saw a stream of officials and reporters come to the facility to meet with U.S. soldiers wounded in Afghanistan and Iraq, he said. 

Unfortunately, Pakistani news media have failed to shine the spotlight on individual human beings who have suffered terribly from the savagery visited upon them by the Taliban and their sectarian allies. The journalists  have reported on incidents of terrorism and the statistics of violence with little follow up on its consequences for victims' lives. They are failing to do their duty, as are the politicians who are refusing to own up the responsibility of protecting Pakistani citizens from the terrorists.  Pakistani religious leaders, too, are failing to remind the people of the huqooq-ul-ibad, their responsibilities for the well-being of their fellow human beings, especially during the month of Ramadan. 

As Pakistanis celebrate Eid this year, it's time for them to focus on the victims of terrorism. They should keep the victims of terror in their thoughts and prayers. More importantly, they should forcefully demand that the country's leadership discharges its fundamental responsibility of providing security to all of the citizens of the country regardless of sect, religion, political affiliation or ethnicity.  

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