Buoyant consumer confidence feared to retreat after Lee Kuan Yew's death

Private expenditure might take a hit.

The nascent recovery of Singapore’s consumer confidence is likely to be arrested by founding father Lee Kuan Yew’s death.

Glenn Maguire, ANZ Chief Economist South Asia, ASEAN & Pacific said that the impact of this seismic event on the economy should come mainly through the channel of consumer spending and confidence.

ANZ-Roy Morgan Singapore Consumer Confidence climbed to 124.5 in March, boosted by positive sentiment after the declaration of Budget 2015.

However, private expenditure will likely be impacted as the country transits through this difficult time.

“Given the leviathan role Mr Lee played in defining Singapore’s first half-century of economic transformation either as Prime Minister or Minister Mentor, it is almost impossible to imagine a situation in which consumer confidence does not retreat following his passing,” Maguire said.