Consumer confidence grows across Asia

Consumer confidence is growing across the Asia-Pacific region with political developments spurring particularly strong rises in Japan and South Korea, according to a new report.

The MasterCard Index of Consumer Confidence surveyed adults during April and May across 16 countries, including Australia, Bangladesh, China, Hong Kong, India, Indonesia, Japan, South Korea, Malaysia, Myanmar, New Zealand, Philippines, Singapore, Taiwan, Thailand and Vietnam.

It found, reported Campaign Asia-Pacific, that overall confidence had improved from the second half of 2012 by 1.2 index points to an average of 63.3.

Japan showed the most significant advance, leaping 37 points to an eight-year high of 60.7. South Korea, too, recorded an increase in confidence, rising 14.8 points to 53.5.

"The large jumps in consumer confidence seen in Japan can be attributed to the government's measures to tackle deflation, whereas in the case of South Korea it can be linked to the new government's strong measures to boost the domestic economy, particularly in property-related tax cuts," said Pierre Burret, Asia-Pacific head at MasterCard Advisors.