China’s Bankcard Consumer Confidence Keeps rising

Recently, China UnionPay (CUP) and Xinhua News Agency jointly released the Xinhua • CUP Bankcard Consumer Confidence Index (BCCI) for March 2013. It shows that the BCCI is currently at 87.20, growing by 1% month-to-month and 0.43% year-on-year. Generally, the more consumption expenditure on non-necessities, the better macroeconomic situation and personal income reflected, and the more optimism consumers hold towards the future economic situation and personal income.

Based on the transaction information of bankcard consumption by urban residents, this BCCI reflects the confidence level of the consumers towards macro-economy by analyzing the changes to the structure of the bankcard consumption expenditure (mainly the change in the proportion of non-necessities to total consumption amount). Chinese government’s further push on domestic consumption will continue to drive the steady growth of BCCI.