India holds second spot on global consumer sentiment index despite August decline

New Delhi: India has retained its position as the world’s second most resilient consumer market on the LSEG-Ipsos Primary Consumer Sentiment Index (PCSI), despite a 3.3 percentage point dip in August. The decline comes against a backdrop of macroeconomic uncertainty and the ongoing effects of Trump-era tariffs.

The survey, conducted across 30 markets, found similar downward shifts in sentiment in Indonesia (-3.7 pp), Poland (-2.8 pp), Germany (-2.5 pp), Colombia (-2.5 pp) and France (-2.2 pp). Malaysia recorded the strongest improvement, with a 6.7 percentage point increase, giving it the highest score on the National Index.

Indian consumers reported reduced confidence across the four PCSI sub-indices in August. The Economic Expectations sub-index registered the steepest fall, dropping by 7.3 percentage points. Current Personal Financial Conditions decreased by 2.8 points, the Investment Climate fell by 3.3 points, and the Employment sub-index declined by 4.7 points.

Suresh Ramalingam, CEO of Ipsos India, said, “The LSEG-Ipsos Primary Consumer Sentiment Index is one of the most respected global surveys tracking consumer confidence, a key indicator of how people intend to spend, cut back, or perceive the economic climate and job market. While the full impact of Trump-era tariffs and recent job cuts is still unfolding, there is a visible sense of anxiety among citizens. President Trump has been explicit in his rhetoric around prioritising local hiring and limiting opportunities for Asians, including Indians. For many in India, the West has long been viewed as a land of opportunity, for jobs, higher education, and immigration pathways like the H1B visa. Now, those aspirations are increasingly under threat.

Adding to the challenge is the rising cost of living, which is squeezing both daily and discretionary spending. These are not isolated issues, a number of global economies are feeling the ripple effects of this broader macroeconomic environment.”

Among the 30 countries surveyed, Malaysia (59.4) held the highest National Index score. For the second time since January 2022, no country recorded a score above 60.

Eleven countries reported scores above the 50-point mark, including India (57.6), Indonesia (57.6), Sweden (57.4), Singapore (55.4), the United States (53.4), Mexico (53.1), the Netherlands (52.5), Australia (52.1), Brazil (51.0), Spain (50.9) and Great Britain (50.5).

At the other end of the spectrum, France (39.7), Japan (37.2), Hungary (35.0) and Türkiye (32.6) recorded scores below 40.

The PCSI is based on a monthly survey of over 21,700 adults under the age of 75 across 30 countries. The August wave was fielded between 25 July and 8 August 2025 through Ipsos’ Global Advisor online platform. In India, a sample of around 2,200 respondents was drawn, with 1,800 interviewed face-to-face and 400 online, reflecting a large subset of the urban population across socio-economic classes A/B/C in metros and tier 1–3 towns.

The index, ongoing since 2010, measures consumer attitudes on the local economy, personal financial conditions, savings and investment confidence.