“We think there are sufficient factors to support private consumption next year,” says Cai in a Wednesday report. “The upcoming general election in Singapore suggests an expansionary budget with potential for cash incentives to be dished out to consumers, which could help propel consumption,” she adds.
SINGAPORE (Dec 11): RHB Research is maintaining its “neutral” call on the Singapore consumer sector, as decelerating economic growth and macro-economic uncertainties threaten to tame consumer confidence and limit upside potential in the upcoming year.
Citing the Singapore government’s forecast for economic growth of 0.5%-2.5% y-o-y in 2020, RHB analyst Juliana Cai acknowledges that this should continue to dampen consumer sentiment. However, Cai attests that all is not lost.
