By Crystal Hsu / Staff reporter

Taiwan’s consumer confidence index (CCI) this month edged up 0.09 points from last month to 77.84, gaining for five months and hitting the highest level since March 2020, a survey conducted by the National Central University (NCU) showed on Friday.

Of the six component measures, the readings on the economic outlook, household income, consumer prices, the job market and purchases of durable goods all picked up, in line with positive economic data, NCU Economic Research Center director Dachrahn Wu (吳大任) said.

Investment sentiment in the local stock market turned out to be the only sub-index with a downtrend, as the TAIEX moved sideways earlier this month, before the US Federal Reserve cut interest rates by 50 basis points on Sept. 18.

Commuters ride along a street decorated with Taiwan’s national flags, across from skyscraper Taipei 101, in Taipei on Saturday.

Photo: AFP

Wu said overall confidence was mainly driven by stable demand in the domestic market as well as wage hikes in some industries facing labor shortages.

The NCU surveyed 3,142 adults aged 20 and above by telephone between Sept. 18 and 21, it said.

The survey showed little change in home-buying intentions, despite the central bank introducing mortgage restrictions on Sept. 19 to curb real-estate speculation.

The real-estate purchase index, which was compiled by NCU along with Taiwan Realty Co (台灣房屋), rose 0.4 points this month from the previous month.

Taiwanese would need to provide a downpayment of 50 percent to 70 percent when buying homes if they already own real estate, even if that ownership is partial or fragmented as a result of inheritance, the central bank said.

People with real demand might feel more comfortable buying homes as house investors and speculators fled the market, making house prices more reasonable, Wu said.

It is better to wait a while longer before passing judgement on the matter, he said.