SG50 revelry propels consumer confidence to 14-month high

The long Jubilee weekend boosted sentiment.

Islandwide Jubilee celebrations gave Singaporean consumers a much-needed confidence boost in August, according to the ANZ-Roy Morgan Singapore Consumer Confidence Index.

The index rose to 130.5 points, the highest since July 2014.

"As Singaporeans reflected on 50 remarkable years and all that was achieved – and received a rather generous Jubilee weekend holiday– it is not surprising that headline consumer confidence rose strongly over the month," said Glenn Maguire, ANZ Chief Economist for South Asia, ASEAN & Pacific.

August’s gain was primarily driven by an increase in the number of local respondents who felt that ‘now is a good time to buy’ major household items, keeping the index elevated above its long-term average of 123.1 points.

"The bounce in sentiment was clearly driven by short-term financial developments: More Singaporeans consider themselves to be better off than a year ago and one year from now. In addition, car prices will likely be dampened due to an expected increase in the supply of COEs; this dynamic could provide a fillip to consumer sentiment,” Maguire said.