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Tag: Economy

  • Vietcombank’s profit skyrockets, Vietinbank’s falls

    Vietcombank’s profit skyrockets, Vietinbank’s falls

    Two of Vietnam’s largest banks reported contrasting performances in 2018, with Vietcombank’s profits rising by 63.5 percent and Vietinbank’s falling by 27 percent. Vietcombank, the largest listed bank by market capitalization, said profit before tax was VND18.02 trillion ($772.73 million) last year, up 63.5 percent over 2017. Vietcombank earlier this month raised VND6.2 trillion ($265.86 million) from selling a 3 percent stake to foreign investors.

    Singapore sovereign fund GIC bought 2.55 percent while Japan’s Mizuho Bank bought the remaining 0.45 percent to keep its 15 percent stake unchanged. Nghiem Xuan Thanh, Vietcombank’s chairman, said at a recent conference his bank had achieved all its target last year.

    Bad debts last year accounted for 0.97 percent of total loans and the bank hopes to keep it below 1 percent this year too. Vietcombank plans to have its total asset value increased by 12 percent, and its capital mobilization up by 13 percent this year.

    Vietinbank, the fourth largest listed bank by market cap, saw profit before tax slip to VND6.7 trillion ($287.3 million) in 2018 from VND9.2 trillion ($394.5 million) in 2017. Asset growth, credit growth and capital mobilization grew by 6-10 percent, lower than targeted.

    The lender’s proposal to increase charter capital has not been approved. Its chairman Le Duc Tho said increasing capital is “vital” since it has remained unchanged for years. The State Bank of Vietnam owns 65 percent of the bank, while foreign ownership has reached the 30 percent cap.

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  • Malaysia won’t lose out to Vietnam: Council

    Malaysia won’t lose out to Vietnam: Council

    Malaysia will not lose its competitiveness to Vietnam even though it does not ratify the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). Malay Economic Action Council researcher Mohd Effuan Aswadi Abdul Wahab said there was no significant proof that there would be an increase in investment once a country signed a free trade agreement (FTA).

    “It is said that many companies, especially manufacturing firms will move to Vietnam after the country has ratified the CPTPP as the trade agreement is being seen as opening doors for companies to go to countries which have ratified the FTAs. This is certainly not true,“ he said.

    He said investors would look into various factors, including political stability, better infrastructure, skilled workers and rule of law, before making any investment decision.

    “Investors will certainly look into Malaysia’s economic policies before they make any investment decision.

  • Vietnam’s coffee traders cut output forecast by 10 percent

    Vietnam’s coffee traders cut output forecast by 10 percent

    Traders in Vietnam lowered their coffee output forecasts by 10 percent this week as a bumper harvest came to an end. They now expect an output of about 27 million bags of 60 kg each for the 2018/19 crop year that began on Oct. 1, compared with earlier forecasts of 30 million bags. “We are not surprised to see a lower output as stubbornly low domestic prices have discouraged many farmers to fertilize and water their trees, while weather condition was also not supportive,” a trader based in the province of Dak Lak said on Thursday.

    “Farmers in the Central Highlands have harvested all of the fresh beans of the 2018/19 crop year,” he said.

    Farmers in the Central Highlands, the country’s key coffee growing area, sold coffee at 33,500-34,000 dong ($1.44-$1.47) per kg on Thursday, compared with 33,200 dong-33,700 dong a week earlier.

    “Though output is lower, domestic prices have not risen due to external factors, including larger forecasts by foreign agencies,” said another trader based in Ho chi Minh City.

    Vietnam’s coffee exports in January are forecast to be between 150,000 tonnes and 180,000 tonnes, compared with an estimated 160,000 tonnes in December.

    Traders in Vietnam offered 5 percent black and broken grade 2 robusta at a $40 per tonne discount to the March contract, compared with a $45-$50 discount last week.

    Meanwhile, in Indonesia, trading continued to be muted with traders saying premium for the grade 4 defect 80 robusta stayed unchanged for a fourth straight week at $20-$30 to the March contract.

    “Supply may only start coming around April because some areas in Bengkulu will have some harvest then,” said a trader, referring to a province neighbouring Lampung.

    Main robusta harvest in southern Sumatra typically takes place around the mid-year, but a smaller harvest usually happens a few months earlier.

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  • Vietnam’s largest airport set for $496 million expansion

    Vietnam’s largest airport set for $496 million expansion

    The Tan Son Nhat Airport could get a third terminal and other facilities at the cost of over $496 million. The Airports Corporation of Vietnam (ACV), which manages and operates civil airports in the country, has submitted to the Ministry of Transport a pre-feasibility report on the construction of a third terminal (T3) at HCMC-based Tan Son Nhat International Airport to reduce overload.

    T3 will be designed to have a capacity of 20 million passengers per year, with total floor area of about 100,000 square meters. ACV proposes to construct in tandem an additional airport apron, a two-lane overhead path, a 5-lane viaduct in front of the terminal and a multi-storey car park. The total cost is estimated at over VND11.43 trillion ($496.18 million).

    The completion of feasibility reports and selection of construction blueprints is set to be finished in February 2020.

    Once T3’s design has been approved, contractors will be chosen via a tendering process so that construction starts in the third quarter of 2020 and can be completed in the second quarter of 2022.

    Because the construction area is located on the Defense Ministry’s land, ACV has suggested allowing a temporary handover of the site in Q1 next year for construction along with completion of necessary legal procedures.

    There are also plans to expand existing terminals T1 and T2 of the Tan Son Nhat airport, raising their combined capacity to 30 million passengers per year.

    The airport currently handles 36 million passengers per year, which is way above its designed capacity of 25 million.

    The Transport Ministry has hired French consulting firm ADPi to work on the plan alongside local firms. The plan proposed by ADPi was approved by the Prime Minister last March and it formed the basis for the new, detailed version.

    ACV has also proposed to the Ministry of Transport that it be assigned as investor for the construction of essential components for the proposed Long Thanh International Airport, including passenger terminal, flying zone (runway, taxiway, apron), and refueling systems.

    ACV chairman Lai Xuan Thanh said that the company is willing to spend between $1-1.5 billion for constructing the first phase of the proposed airport, which is estimated to cost $5.4 billion.

    The Long Thanh Airport, to be built in three phases over three decades, was recently listed by CNN Travel as one of the world’s 16 most exciting airport projects.

    The first phase is scheduled for completion in 2025 when it will be able to handle 25 million passengers annually. The next two phases will be built in 2030-2035 and from 2040-2050.

    The new airport would have an annual capacity of 100 million passengers and five million tons of cargo when completed.

    ACV has announced that in its 2019 plan, the company will spend more than VND10 trillion ($432.71 million) on upgrading and expanding several airports, including Cat Bi in northern Hai Phong City, Vinh in central Nghe An Province, Phu Cat in central Binh Dinh Province, and Noi Bai in Hanoi.

    Most of these upgrades are expected to be completed by the third quarter of 2019.

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  • Maybank Malaysia bags ‘The Banker’s Bank’ award

    Maybank Malaysia bags ‘The Banker’s Bank’ award

    Malayan Banking Bhd (Maybank) clinched The Banker’s Bank of the Year 2018 in Malaysia award with its fresh thinking on how to provide the best service quality to previously underserved consumers. In a statement, The Banker Editorial said Maybank launched HouzKEY, an innovative rent-to-own product, the first of its kind in Malaysia, recognising a gap in the market to provide services to Islamic banking customers.

    “With a growing demand for affordable homes in the country, Maybank created this alternative solution, which allows for home ownership through a leasing scheme that does not require a deposit.

    “Customers have a flat rate rental payment for five years, and at the end of that time, have the option to purchase the property at a price agreed at the start of the contract, continue to rent with a 2% annual rent increase, or to terminate the contract with no obligation,” it said.

    The scheme is Shariah-compliant, being based on the Ijarah principle of leasing.

    Maybank president/CEO Datuk Abdul Farid Alias said the bedrock of its success is predicated on the bank’s mission of humanising financial services, which drives it to innovate and offer financial solutions that enrich the lives of customers.

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  • Vietnam retail sales reported soaring

    Vietnam retail sales reported soaring

    Vietnam retail sales grew at 13 per cent last year, with food and beverage, apparel and household appliances leading the way, according to Savills Vietnam. The country’s Ministry of Industry and Trade has estimated total revenue generated from retail sales and consumer services reached US$191 billion last year. Vietnam retail sales accounted for $143.3 billion of that figure, or more than 75 per cent.

    The highest growth was recorded in precious stones and metals, wood and building materials, food, household appliances, and garments.

    Sales from accommodation and catering services grew by 9.1 per cent to $23.3 billion, accounting for 12.3 per cent of the total retail sales.

    Retail space supply

    The supply of retail space in Vietnam increased by more than 28,000sqm last year with two new shopping centres opening and  several others changing format or closing. Total stock was approximately 1.3 million sqm, up 9 per cent year on year and the average gross rent rose 2 per cent quarter on quarter.

    This year, Savills predicts, new supply in CBD locations will be only 31,700sqm with another 215,000sqm becoming available in non-CBD districts.

    Outlook

    Meanwhile, the ministry predicts total revenue from retailing and consumer services will increase at an average of 13 per cent this year, reaching $255.5 billion.

    Between 2021 and 2025, the predicted growth rate is 14 per cent with total revenue reaching $484.58 billion by 2025.

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  • Confidence Returns to Indonesia’s Financial Markets

    Confidence Returns to Indonesia’s Financial Markets

    After a steep correction last year and pressure on the rupiah, Indonesia expects stability to return to its financial markets this year as foreign capital starts flowing back into the domestic market. The first bond offerings of the year last week were more than three times oversubscribed, with interest mainly coming from foreign investors, who also bought more local stocks than what they sold over the past two weeks, reversing a net selling trend that persisted throughout last year, according to Indonesia Stock Exchange (IDX) data.

    For Bank Indonesia Governor Perry Warjiyo, the return of foreign capital inflows came as no surprise. The central bank has been aggressive in raising its benchmark interest rate – the seven-day reverse repo rate – which was increased by 175 basis points to 6 percent over the past nine months in response to tightening by the United States Federal Reserve.

    As it now seems more likely that the US central bank may raise the federal funds rate only twice this year instead of three times, Indonesia’s financial markets have become more attractive to foreign investors as a destination to park their funds.

    “The US dollar is not king anymore this year,” Perry said during a meeting with editors of the country’s largest media groups on Monday.

    Pressure on the rupiah has also eased. The currency currently trades at 14,031 to the greenback, having appreciated 8 percent from its weakest level of 15,253 four months ago, Bank Indonesia data showed.

    Bank Indonesia took measures in concert with the central banks of Malaysia and Thailand on Jan. 2 to reduce dependency on the dollar in bilateral trade. The arrangement will involve Indonesian trade with the two countries, which amounts to about $33 billion per year, being settled in the countries’ respective currencies, instead of the US dollar.

    Indonesia’s current-account deficit, the main culprit for the weakness in its currency, is expected to narrow to 2.5 percent of gross domestic product this year, compared with 3 percent last year.

    American multinational investment bank Morgan Stanley said lower oil prices should help Indonesia lower its current-account deficit.

    “With Brent down 36 percent from its September highs, we should see some relief on the trade balance, which has been weighing on the current account and, in turn, [become] a drag on confidence in equities and performance,” analysts Sean Gardiner and Aarti Shah wrote in a recent note to clients.

    They said oil prices, with the combined effects of the election stimulus, recovering loan growth, dovish monetary policy and rising company earnings have cemented Morgan Stanley’s bullish views on Indonesian stocks.

    The New York-based bank’s top picks include conglomerate Astra International, state-owned gas utility company Perusahaan Gas Negara, state-owned telecommunications company Telkom Indonesia, and lenders Bank Central Asia and Bank Mandiri.

    Bank Indonesia is confident that the country’s economy may grow by between 5.0 percent and 5.4 percent this year, compared with an estimated 5.2 percent last year. Household consumption is also expected to expand by between 5.1 percent and 5.5 percent and investment by between 6.5 percent and 6.9 percent, the central bank governor said.

    Perry said bank loans will maintain their expansive pace of 12 percent this year, in line with an increase of between 8 percent and 10 percent in third-party funds.

    However, one source of concern this year is lower commodity prices, which will affect Indonesia’s export earnings. Perry said the country should therefore increase its exports of manufactured goods, seek new markets for its products and encourage tourism.

    He said Bank Indonesia is comfortable with its current policy and that it can afford to maintain its benchmark rate until March.

    “We are optimistic that 2019 will be better than 2018,” Perry said.

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  • Malaysia’s GDP growth to ease to 4.7% this year: Moody’s

    Malaysia’s GDP growth to ease to 4.7% this year: Moody’s

    Malaysia’s real gross domestic product (GDP) growth is expected to recede to 4.7% in 2019 after averaging at around the 5% mark between 2015 and 2018 on the back of external headwinds, according to Moody’s Investors Service. For 2020, the economy is projected to moderate further to 4.5%. The rating agency foresees external headwinds from trade protectionism to weigh on trade activity, while the review of infrastructure projects and slowdown in public spending will also prove to be a further drag to growth.

    “Nevertheless, economic expansion will still stay stronger than the median average for A-rated sovereigns, even taking moderating growth into account,” it opined.

    Moody’s said Malaysia’s credit profile, which is rated at “A3 Stable” reflects its large and diversified economy with healthy medium-term growth prospects, and relatively high government debt that is partly offset by a favourable debt structure and large domestic savings.

    It pointed out that the govern-ment’s recent fiscal policy choices, particularly in abolishing the goods and services tax, will narrow its revenue base and reduce fiscal flexibility – while its debt burden which is significantly higher than the A-rated median, will remain a credit constraint.

    “However, deep domestic capital markets and high savings provide a stable funding pool for the government’s debt, and partly offset these fiscal weaknesses. A solid institutional framework that includes effective monetary policy supports the country’s credit profile,” Moody’s said.

    It also noted that pervasive corruption will likely to remain a challenge for the government, which will also undermine policy effectiveness.

    Moody’s said that given a stable outlook of the sovereign rating, a change in the rating is unlikely in the near term, but could face upward pressure if the scope for fiscal consolidation increases.

    Conversely, the rating agency said it would consider downgrading the sovereign rating in the event of weakened fiscal prospects, increased debt burden, growing political tensions and diverging views within the government, which could undermine policy effectiveness or impair the government’s ability to adhere to its fiscal consolidation objectives, potentially threatening the stability of capital flows to the country in the process.

  • Asian stocks rise again on US-China trade talks optimism

    Asian stocks rise again on US-China trade talks optimism

    Increasing optimism that China and the United States will be able to hammer out a deal to help ease their trade war provided the impetus for more gains across Asian markets today. After taking a battering in December and suffering a shaky start to 2019, confidence is slowly returning to equity trading floors, though dealers remain on edge. Federal Reserve boss Jerome Powell provided the platform for a rally last week when he said the central bank had no “preset” plan for lifting interest rates and was “listening” to markets, signalling that the pace of hikes could slow this year.

    Fear of higher borrowing rates was a major cause of last year’s stocks losses.

    The mood among dealers held this week as officials from China and the US hunkered down for trade negotiations in Beijing that have extended into a third day. US President Donald Trump on Tuesday described them as going “very well”.

    Bloomberg also reported White House sources as saying Trump is keen to get a deal done in order to boost stock markets, which he regards as a gauge of his success.

    And The Wall Street Journal said the two were moving in the right direction, with China ready to buy more US goods and services, while further talks at cabinet level were being lined up next week.

    The progress in talks “is fuelling investor optimism suggesting there might be a light at the end of the trade war tumultuous tunnel”, said Stephen Innes, head of Asia-Pacific trade at OANDA.

    Hong Kong rose 2.3% – a fourth straight gain that has seen the index put on around 5% – and Shanghai ended up 0.75%, while Tokyo closed 1.15% higher. Sydney jumped 1% with Singapore, while Taipei and Wellington were each more than 1% higher. Manila surged more than 2% and there were also gains in Mumbai and Jakarta.

    Seoul added 2% as North Korean leader Kim Jong Un visited Beijing with speculation swirling that he will meet Trump for a second summit later this year.

    The gains also come after a strong reading on US jobs creation Friday, which soothed worries that the American economy was slowing down.

    “When the dust settles, if it ever does, the fear of recession will prove to be premature,“ Bob Doll, an analyst at Nuveen Asset Management said.

    “We will have growth, yes, slowed from the 2018 pace and we will have… earnings, yes, slowed from the 2018 pace, but acceptable for investors and that will allow equity markets to move higher.”

  • World Bank sees slower global economic growth of 2.9% this year

    World Bank sees slower global economic growth of 2.9% this year

    The growth of the global economy is expected to slow to 2.9% in 2019 compared with 3% in 2018, the World Bank said on Tuesday, citing elevated trade tensions and international trade moderation. “At the beginning of 2018 the global economy was firing on all cylinders, but it lost speed during the year and the ride could get even bumpier in the year ahead,“ World Bank CEO Kristalina Georgieva said in the semi-annual Global Economic Prospects report.

    The World Bank outlook comes as the United States and China have been engaged in a bitter trade dispute, which has jolted financial markets across the world for months. The two economies have imposed tit-for-tat duties on each other’s goods, although there have been signs of progress.

    Growth in the US is likely to slow to 2.5% this year from 2.9% in 2018, while China is expected to grow at 6.2% in the year compared with 6.5% in 2018, according to the World Bank.

    Emerging market economies are expected to grow at 4.2% this year, with advanced economies expected to grow at 2%, the World Bank said.

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  • Bank Negara: US$101.4b international reserves at end-2018

    Bank Negara: US$101.4b international reserves at end-2018

    Bank Negara Malaysia’s (BNM) international reserves remained unchanged at US$101.4 billion (about RM417.06 billion) as at Dec 31, 2018, from Dec 14, 2018. The central bank said in a statement that the reserves position is sufficient to finance 7.4 months of retained imports and is 1.0 time the short-term external debt.

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  • Vietnam targets credit growth of 14 pct in 2019

    Vietnam targets credit growth of 14 pct in 2019

    The State Bank of Vietnam targets credit growth of 14 percent this year, the same as last year. The focus of new loans would be priority sectors such as manufacturing, agriculture and small and medium enterprises, Nguyen Thi Hong, Deputy Governor of the central bank, said. Credit growth in the Vietnamese banking sector last year was 14 percent, the lowest rate since 2014.

    The figure announced by the State Bank of Vietnam (SBV) Monday was well short of the 17 percent targeted for the year.

    According to officials from the SBV’s Department of Credit for Economic Sectors, lending grew sharply in the early months of the year before tapering off. It was primarily targeted at priority sectors such as manufacturing and processing.

    Credit to the commercial and services sectors saw the highest growth rate, 16 percent. Lending to industry and construction grew by 12.1 percent and to agriculture, by 8.8 percent.

    Overall, interest rates remained steady despite rising interest rates in global markets. In Vietnam, interest rates are commonly around 6-9 percent a year for short-term and 9-11 percent a year for medium and long-term.

    The non-performing loans ratio was down to 1.89 percent from 1.99 percent in 2017 and 2.46 percent in 2016.

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  • Malaysian businesses less optimistic on prospects for next six months

    Malaysian businesses less optimistic on prospects for next six months

    Malaysian businesses are displaying less optimistic sentiment on prospects for the next six months as the RAM Business Confidence Index (RAM BCI) fell to its lowest level since its inception two year ago. RAM said in a statement today that the corporate and the SME indices of the RAM BCI declined to 55.1 and 51.0 respectively, although the reading above 50.0 still denotes positive sentiment.

    The RAM BCI is a comprehensive survey jointly conducted by RAM Holdings Bhd and RAM Credit Information Sdn Bhd, on business sentiment in Malaysia. Released quarterly, the index is based on data from a survey of close to 3,500 SMEs and corporates across five main industry segments respectively.

    The cooler sentiment is attributable predominantly to the weak economic prospects in the next six months, with a number of firms citing this as the main challenge, rising to 41.2% and 41% both corporate and SME segments.

    Decelerating domestic growth, uncertain global demand and investment activities and a lack of positive catalysts, including the relatively neutral Budget 2019, all play a part in the generally weaker business sentiment on the next six months.

    On a sectoral basic, the construction sector appeared the least bullish with the SME sector recording a reading at 49.7 while the corporate sector declined for the third time in a row to 53.0.

    Without any new growth catalyst amid the property overhang, plus the shelving of new big-ticket infrastructure projects, it is not surprising that the construction sub-indices have hit record lows, RAM said.

    Another sector that showed pessimism in the Q1-Q2 2019 survey is SME retail as its performance outlook slipped back into negative territory after a brief expansionary momentum that had been aided by the tax-free window from June to August 2018.

    “Faced with uncertain global and domestic economic prospects, consumers are once again more prudent with their spending, leading to weaker sentiment on retail consumption in 2019,” it added.

    On the back of weaker prospects, the firms are also holding back from capacity building with the sub-indices tracking corporate business expansion, capital investment and hiring recording a fall in three consecutive surveys.

    Likewise, the capacity-building sub-indices for SMEs pulled back from the last survey and remain below those of corporates.

    RAM noted that firms’ expressed reticence on capacity building remains the most prominent downside risk, as it could weigh on the momentum of economic growth in 2019 and potential economic output over the longer run. This is particularly true in respect of SMEs, which are more vulnerable and sensitive to immediate economic challenges.

    “That said, more guidance on future economic policies that will shape the overall business environment will be crucial to building business confidence among firms, potentially being the game changer for a more resilient growth trajectory this year,” it added.

  • Petronas starts trial runs at crude distillation unit for Rapid

    Petronas starts trial runs at crude distillation unit for Rapid

    Malaysian state oil company Petroliam Nasional Bhd (Petronas) started trial runs at the crude distillation unit (CDU) for a joint-venture refinery with Saudi Aramco in Malaysia last week, two sources with knowledge of the matter said this week. The move marks a major milestone for the US$2.7 billion (RM11 billion) project known as Rapid – or Refinery and Petrochemical Integrated Development – in Pengerang, Johor. The test runs put the project on track for commercial operation in 2019.

    The company also received its second cargo of 2 million barrels of Saudi crude last week, according to the sources and data on Refinitiv Eikon.

    Petronas could not be immediately reached for comment.

    Rapid consists of a 300,000-barrel-per-day (bpd) refinery and secondary refining units that will allow the companies to produce refined oil products that meet Euro 5 fuel specifications. The refinery is linked to a petrochemical complex with a capacity of 7.7 million tonnes a year.

    The first crude oil cargo for Rapid was offloaded at Pengerang in September.

    The refinery is one of four new complexes in Asia that represent a combined processing capacity of nearly 1.3 million bpd scheduled to start up from late 2018 to 2019.

    Another of the four complexes, a 400,000 bpd refinery, owned by Hengli Petrochemical in Dalian in northeast China, started trial runs in December.

    These plants will increase Asia’s crude demand while adding to fuel output in the region.

  • Malaysian consumer sentiment to remain healthy this year

    Malaysian consumer sentiment to remain healthy this year

    AmInvestment Bank has maintained its “overweight” rating on the consumer sector, as consumer sentiment is expected to remain healthy on the back of recent consumer-friendly initiatives by the government. It said in a report that recent initiatives such as the reintroduction of petrol subsidy, capping of the electricity tariff and introduction of public transport subsidies, have contained the problem of rising cost of living and effectively put more money back into the pockets of consumers.

    “The substitution of the Goods and Services Tax (GST) with the Sales and Services Tax (SST) is a net positive to consumers as the SST has a narrower scope compared with the GST,” it said.

    According to the Malaysian Institute of Economic Research, the Consumer Sentiment Index has recovered beyond the 100-point confidence threshold after three years of a low sentiment trend.

    AmInvestment Bank believes that the positive trend in consumer sentiment will be sustained as consumers become more confident of the government with expectations of more rakyat-centric government policies, better governance and transparency.

    It expects private consumption to grow at 6.5% year-on-year on the back of a healthy labour market and stable inflation.

    While the food and beverage sub-sector does not typically benefit from greater disposable income, AmInvestment Bank has identified Berjaya Food Bhd (BFood), Mynews Holdings Bhd and Power Root Bhd as the top picks for the sector.

    It said that BFood is a beneficiary as improved consumer sentiment will drive discretionary spending while Mynews will be an indirect beneficiary of the public transportation subsidy.

    “We reckon that this measure will boost foot traffic surrounding the train stations. Mynews currently operates more than 30 stores in the MRT, LRT and monorail stations,” it added.

    Meanwhile, Power Root will be a potential beneficiary as it is a producer of staple products. It will also benefit from a stronger US dollar as around 50% of its sales are in exports.

    Downside risks that may prompt it to review its call for the sector are weakening of the ringgit against the US dollar (its 2019 assumption average is RM4.12) and sluggish improvement to economic fundamentals, which could lead to a de-rating of the sector.

    “A sluggish recovery in economic fundamentals such as high operational costs and a weak ringgit may not see consumers fully benefitting from savings tied to the SST reintroduction and consumer-friendly measures, thereby dampening the recovery in consumer sentiment,” it said.

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