Tag: Malaysia

  • Poh Kong Holdings plans five more stores

    Poh Kong Holdings plans five more stores

    Malaysia’s largest jewellery retailer, Poh Kong Holdings, plans to spend up to RM25 million (US$5.6 million) to open five more stores in Malaysia this year.

    The company says two of the outlets will be in Johor, a state with an appetite for gold and gemset jewellery.

    Each outlet costs up to RM5 million to set up, including inventories, says Poh Kong business development manager Edison Choon.

    poh-kong-jewelry-store

    He declined to reveal the locations of the other three possible stores.

    By year end, he says, the company aims to have at least 100 stores (there are now 97 outlets, all in peninsular Malaysia).

    At the moment, 71 per cent of Poh Kong’s revenue is generated in the Klang Valley. Analysts say the company has 16 to 20 per cent share of Malaysia’s gold jewellery market, which is estimated to be worth RM5 billion.

  • McDonald’s Malaysia bans non-halal foods

    McDonald’s Malaysia bans non-halal foods

    McDonald’s Malaysia has decided to ban customers taking products that are not halal-certified into its restaurants.

    The fast-food restaurant chain says the measure is necessary to safeguard its own halal status, reports the Malay Mail.

    “This is in line with fulfilling requirements of our halal certification,” company official say.

    The new policy came to notice after an announcement was made in one of its restaurants that birthday cakes taken onto the premises must have halal certification or logo.

    McDonald’s Singapore and Malaysia franchise rights were sold last month to Saudi Arabian company Lionhorn as part of a broader plan by the US company to move away from direct ownership in Asia.

  • Chatime Malaysia master franchisor axed

    Chatime Malaysia master franchisor axed

    Loob Holdings, which owns and runs the Chatime Malaysia outlets, says it will seek legal advice in response to news of a purported termination of the franchise agreement with La Kaffa International of Taiwan.

    Loob CEO Bryan Loo says that while the franchisor owns the brands, all Chatime outlets in Malaysia are owned and run by his company, either through direct ownership, sub-franchisees or joint ventures with sub-franchisees.

    While awaiting the legal process, he says all 165 Chatime outlets in Malaysia will be open as usual with Loob as master franchisee.

    Earlier, La Kaffa chairman Henry Wang announced the termination of Loob Holdings’ Chatime master franchisor contract, which it has held for six year, because of disagreements in the direction of business operations.

    Wang said La Kaffa would take over the Chatime business in Malaysia, assuring franchisees they would continue to receive support from the company.

  • Former Petronas regional marketing head to Pizza Hut as CMO

    Former Petronas regional marketing head to Pizza Hut as CMO

    QSR Brands, one of the largest quick service restaurants operator in Malaysia as well as a leading brand in the Southeast Asia region, is promoting Merrill Pereyra to chief executive officer.   Along with Pereyra’s promotion, it is also appointing Jean Ler as chief marketing officer for Pizza Hut Malaysia.

    Ler will head up marketing, including brand management, innovations and consumer insights to rejuvenate the Pizza Hut brand in Malaysia. She will look to strengthen the relevance and connection to consumers by bringing them delicious products, renewed marketing communications and exciting enhanced experiences.

    Ler has a marketing career that spans 20 years across various reputable local and multinational food & beverage companies. She was most recently regional head of Marketing for Petronas Lubricants AsiaPac following various positions of increased responsibility at Dutch Lady and KraftFoods/Mondelez where she successfully regained market leadership position for the Dairy and Biscuits portfolio of the respective brands.

    Meanwhile, CEO Pereyra joined QSR Brands in June 2016 as COO to further shape the company’s growth story in the region. His current CEO role includes leadership of KFC and Pizza Hut in Malaysia, Singapore, Brunei, and Cambodia. His promotion follows the departure of Rohan St. George who helmed QSR Brands from 2013 to 2016.

    With over 25 years of years of innovative and energetic leadership in the Middle East, South Pacific, Australia and Asia, Pereyra is renowned for leveraging global resources, capabilities, and relationships to promote growth of brands in new markets. He has a successful track record in setting up new businesses in six countries, in developing and implementing strategic business plans as well as fast tracking high potential employees to leadership positions.

    Over the last 30 years, Pereyra has assumed senior leadership, sales and marketing positions at various leading quick service restaurants such as Domino’s, Healthy Habits and McDonald’s. In his last two roles, he was CEO of Domino’s and managing director of Healthy Habits in Australia. Prior to that, he spent 23 years at McDonald’s in four different countries.

    Eric Leong has also been appointed as GM for Pizza Hut and will oversee the planning, coordinating, and managing field activities including restaurant and delivery management, quality assurance, and implementing special projects. This is in line with Pizza Hut’s drive for superior customer service and operational efficiencies to cement a solid foundation for ambitious business growth.

    He brings more than 27 years of experience in the food and beverage industry, with extensive experience in sales and retail. Prior to joining Pizza Hut Malaysia, he was the managing director at Minor Food Group Singapore, which is part of Minor International, one of the largest leisure, F&B and retail companies in the Asia Pacific.

    He was also supervising director and general manager at Berjaya Corporation Berhad in 2012, holding both portfolios comprising Papa John’s Pizza Malaysia and Philippines, as well as Wendy’s Malaysia.

    Both Ler and Leong witll report to  Pereyra in his new role as CEO.

    Pereyra said, “At the heart of everything we do at QSR Brands, is our consumers. This is something Eric and Jean truly understand and embody. They both bring a wealth of experience and a fresh perspective to Pizza Hut.” “I look forward to working closely with them to deliver our plans for 2017 and beyond to improve our brand value and provide Malaysians with new and exciting dining experiences that appeal to their tastes and hearts.”

    This year Pizza Hut celebrates its 35th anniversary in Malaysia

  • Samsung Malaysia launches Galaxy A5 and A7 2017 with IP68 rated dust and water resistance

    Samsung Malaysia launches Galaxy A5 and A7 2017 with IP68 rated dust and water resistance

    Samsung Malaysia has announced the latest 2017 version Galaxy A lineup for the local market that features IP68 certified water and dust resistance along with built-in Samsung Pay function.

    The all-new Galaxy A series 2017 that was introduced include Galaxy A5 and Galaxy A7. The main differences between the two are the screen size and battery capacity. The Galaxy A5 comes with a 5.2 inch Full HD Super AMOLED display with a 3,000 mAh size battery. Galaxy A7 on the other hand features a 5.7 inch Full HD Super AMOLED display with a 3,600 mAh size battery.

    galaxy-a5-a7-01

    Apart from the above dissimilarities, both devices share similar components such as a 1.9GHz octa core SoC, 3GB RAM, 32GB expandable storage (up to 256GB), front-facing fingerprint scanner, 16 megapixel f/1.9 for both front and rear cameras as well as fast charging support via USB Type-C.

    It is worth noting that Samsung has separated the dual SIM card slots from the microSD card slot which means you won’t have to choose between using dual SIM card or one SIM card with a microSD card. We are also slightly disappointed that both the Galaxy A 2017 devices will be running Android Marshmallow OS instead of the latest Android Nougat.

    The local retail price for both Galaxy A5 2017 and A7 2017 are RM1,699 and RM1,899 respectively. Pre order starts from the 6th to 15th of January 2017 at selected Samsung outlets. If you make your pre-order during this period, you will receive a pair of Samsung Level U Pro wireless headphones worth RM399 for FREE!

  • After Soaring, AirAsia Hits Some Turbulence

    After Soaring, AirAsia Hits Some Turbulence

    Malaysia’s AirAsia, which operates budget flights across Southeast Asia, had a stellar 2016. But the catalysts that fueled the airline’s ascent by as much as 130% by August are no longer there. This stock could fall another 20%.

    AirAsia is a play on the Malaysian ringgit. Its share price started to slip in late August, coinciding with the ringgit’s decline. Since then, the ringgit has fallen some 11%, to $4.50, and AirAsia has tumbled more than 30%. The stock still managed to return over 80% in 2016, however.

    A weaker ringgit hurts AirAsia’s operating margins. Deutsche Bank ’s Joe Liew estimates that half of the airline’s operating costs last year were related to the dollar, in part because 90% of its debt is denominated in greenbacks. The airline says that two-thirds of its dollar debt was hedged at about 3.23 ringgits to the dollar. Still, Deutsche estimates that for every 5% decline in the ringgit, AirAsia’s operating profit falls by 7.1%.

    More importantly, over half of AirAsia’s shareholders are foreigners, who are more likely to unload the stock when Malaysia’s currency policy gets unsteady. The ringgit “keeps us awake at night,” says Credit Suisse’s strategist Tan Ting Min, because China is Malaysia’s largest exporter and the currency is viewed as a yuan proxy. It’s also sentiment-driven because foreigners hold about half of Malaysian government bonds, 50% more of which are maturing this year. In addition, Malaysia’s central bank unnerved investors during the Trump tantrum—the selloff of emerging market bonds and currencies after the U.S. election—by asking foreign banks to stop trading ringgit in the offshore nondeliverable forwards market, a popular way for foreigners to hedge against its decline.

    There are other head winds. Fuel prices have begun to rise. At the end of December, jet fuel was trading at $67 a barrel, 48% above a year ago, according to Platts. While AirAsia hedges 74% of its jet-fuel costs at $60 a barrel, expensive fuel still affects its earnings. Deutsche says that for every 5% rise in jet-fuel prices, AirAsia’s net profit falls by 6.6%.

    COMPETITION IS ALSO HEATING UP

    Again in Malaysia. Malindo, which started operations only in 2013, bought 16 new aircraft in 2016 and operates 42 in total, about a third the size of AirAsia Malaysia. Meanwhile, market leader Malaysia Airlines, which has been in cost-control mode for the past two years after the crash of the MH 370 in March 2014, is looking to expand again. It is starting nine new routes to China this year.

    AirAsia said in August it would divest itself of Asia Aviation Capital, which provides aircraft-leasing services to the airline. AirAsia said the unit could fetch $1 billion. At the end of September, Asia Aviation had only $59 million in equity on its balance sheet. “We struggle a little to understand how that [$1 billion] number is derived, given the balance-sheet numbers,” wrote Deutsche in a note last week.

    Deutsche Bank last week downgraded AirAsia to Sell with a price target of 1.75 ringgit, or another 20% downside. It values AirAsia at five times enterprise value to earnings, in line with full-service airlines Cathay Pacific (293.Hong Kong) and Singapore Airlines(C6L.Singapore). Both of these airlines are suffering from excess capacity, and Deutsche is betting that AirAsia will be operating in a similar environment a year from now.

  • Affin Hwang Research retains Neutral on consumer sector

    Affin Hwang Capital Research is retaining its Neutral sector rating on the consumer sector and recommends stocks with solid track records and high yields, with Heineken as its top pick.

    It said on Monday while the Q3, 2016 earnings mainly disappointed,  it believes consumer spending will recover slowly in 2017 as the consumer sentiment index should pick up, backed by positive government initiatives.

    “Sector net profit fell by 26% YoY, with six of nine of our companies below expectations. We changed two ratings this round: we upgraded BAT to Hold on a share-price retraction which brought about more attractive dividend yields; and we downgraded MSM to Sell, as raw sugar prices have risen strongly, hurting margins.

    “We also recently upgraded Hai-O to Hold on better-than-expected growth in its multi-level marketing (MLM) division,” it said.

    Affin Hwang Research pointed out that while the Malaysian Institute for Economic Research (MIER) consumer sentiment remained low at 73.6 in 3Q16 – a slight pickup from an all-time low of 63.8 in 4Q15 since the global financial crisis – it was still below the 100-point threshold.

    According to Nielsen, Malaysian consumers are among the least confident in Asia Pacific. Given potentially higher transport costs and food prices partly due the removal of the cooking oil subsidy, it forecasts a higher full-year inflation rate of 2.7% in 2017 (vs. 2.2% in 2016E).

    Comparatively, MIER’s retail trade index improved to 111.6 in Q316, above the 100-point threshold, which seems to indicate that expected sales and business conditions will strengthen.

    Retail Group Malaysia forecasts 5% on-year growth in 2017 (vs 3% on-year  in 2016E and 1.4% on-year in 2015), expecting a boost on increased tourist arrivals. Budget 2017’s key initiative to increase government aid under the BR1M scheme by as much as 20% with an allocation of RM6.8bil and special assistance of RM500 to all public servants should also help boost consumer spending.

    “Nonetheless, the retail sector remains challenging, with earnings before interest and tax (EBIT) margins and same-store-sales growth in a downturn. The F&B segment will likely be hit by higher raw material prices moving forward.

    “While the tobacco segment lacks positive catalysts, BAT’s share price has come down and now offers dividend yields of 5% or more, on our estimates.

    “We are generally still positive on the brewery sector, which had done well in previous quarters, and we like our two stocks, Heineken and Carlsberg, for their dividend yields.

    “We expect domestic consumer spending to recover slowly in 2017, as consumer sentiment is expected to improve from its low base, supported by stable labor market conditions and a large young population. Maintain Neutral. We advise investors to focus on companies with defensive characteristics and attractive dividend yields,” said Affin Hwang Research.

  • Ban on plastic bags going well in Selangor

    Ban on plastic bags going well in Selangor

    Most folks in Selangor are responding well to the ban on plastic bags despite some feeling that they still need more time to get used to it.

    Some however felt more awareness must be created as to why it is necessary to ban plastic bags.

    Copywriter Trinity Alexandra, said she fully supports the ban as it “forces” her to do her part for mother nature but admitted it has been a challenge.

    “Even though I have recycle bags or containers in my car, I sometimes forget to take it out so I am forced to pay the 20 sen charge for the plastic bags,

    “So the challenge is mainly to remind myself to lug the bags and containers around,” said Trinity.

    Writer P. Deepika, 28, said more should be done on creating awareness about the reason for the ban.

    “People need to know why they are doing something, otherwise you are not addressing the issue. We won’t achieve much at the end of the day.

    “Having said that, I do think the ban is a necessary move,” she said.

    Praveen Reginald, 33, said she has practised packing food in her own containers and bringing along cloth bags even before the ban was enforced.

    She, however, felt merchants who are providing plastic bags with a price should be made to give out paper bags instead.

    “I think it’s a good effort to ban plastic as it is very timely but I think the Government should pressure merchants to provide paper bags,” she said.

    Selangor state exco member Elizabeth Wong said ample time had been given to retailers, traders and even consu­mers to get used to the No Plastic Bag Day campaign.

    “Our enforcement units from the local councils will begin their rounds very soon,” she said.

    “The maximum compound of RM1,000 will be imposed as it is the standard amount for any breach of licensing by-laws,” said Wong.

    The campaign, she added, was “encouraging and positive so far”.

    Malaysia Retail Chain Association president Datuk Garry Chua said its members were getting used to the ban, some of whom were now using environmentally-friendly bags.

    However, he hoped that there would be a grace period for retailers and consumers to get adjusted to the ruling.

    Fomca deputy president Mohd Yusof Abdul Rahman said the ban should be extended to all states via its local authorities.

    “This is an important environmental issue and I don’t see why it should not be implemented nationwide,” said Mohd Yusof.

    Ecotourism and Conservation Society Malaysia co-founder Andrew Sebastian said he hoped that any savings that the retailers and traders make from not giv­­­­­­­ing out plastic bags could be channelled back to the environment.

    Malaysian Nature Society president Henry Goh said it was in full support of using less plastic, adding that this should eventually lead to a total ban.

  • Carousell snaps up Malaysian mobile ad startup

    Carousell snaps up Malaysian mobile ad startup

    eCommerce company Carousell has bought Duriana, the Malaysian mobile classifieds startup, to become the top mobile classifieds player in the market.

    The deal adds significant critical mass to Carousell in Philippines, where Duriana has built a credible presence, and cements Carousell’s position as the largest and fastest growing mobile classifieds marketplace in Asia-Pacific.

    Duriana is Carousell’s third acquisition in less than six months as it aims to become the world’s number one mobile classifieds marketplace. Since its launch in August 2012, Carousell has expanded to 19 major cities in seven countries, including recent launches in Hong Kong, the Philippines and Australia. This deal will add over 600,000 Duriana users to the Carousell platform, boosting its global classifieds marketplace which currently has over 57 million listings and over 23 million items sold as of the fourth quarter of 2016.

    Since Carousell’s launch in Malaysia in December 2014 and in the Philippines in October 2016, the classifieds marketplace has been growing rapidly with almost 2 million items sold in Malaysia during the last quarter, almost double the previous quarter. In the Philippines, Carousell has also enjoyed strong growth with over 80 per cent quarter-on-quarter growth in transactions.

    “A classifieds marketplace offers its users the most value when there’s a large and vibrant community of buyers and sellers on the platform,” said Quek Siu Rui, co-founder and CEO of Carousell. “We saw that Duriana users had similar demographics and interests in buying and selling fashion items, gadgets and electronics as well as home furnishing. By bringing Duriana users onto the Carousell platform, we’re helping more people buy and sell their pre-loved items quickly and easily.”

    Duriana users will join the Carousell marketplace, where they can continue buying and selling online as part of a larger global community.

    “It’s been an exciting three years with Duriana, and we’re proud to have brought the company to this stage. After this exit, we’re looking forward to pursuing a new adventure.” said Saeed Gouda, co-founder and CEO of Duriana. “Carousell is shaking up the mobile classifieds space, and we’re confident that Duriana users will enjoy buying, selling and connecting as part of the vibrant Carousell community. “

  • Lina’s Paris seeking partners in SE Asia

    Lina’s Paris seeking partners in SE Asia

    After launching in Korea, French fast-casual restaurant chain Lina’s Paris is planning to roll out across Southeast Asia.

    Working with a franchisee, it already has 10 restaurants in Korea and has just opened a kiosk in Seoul Art Center with 100 seats.

    linas_sac

    Founded in 1989, Lina’s Paris offers French-style breakfasts, sandwiches, salads, hot dishes, soups, fresh juice, sorbet and pastries. The outlets are designed as comfortable lounges with free WiFi and Parisian decor. In some countries the offer includes organic and gluten-free food.

    Lina’s Paris has nearly 50 restaurants in six countries, and says it is now actively seeking partners in Southeast Asia.

  • Uniqlo Malaysia opens second store

    Uniqlo Malaysia opens second store

    Uniqlo Malaysia has opened a second store in Ipoh, in the city’s largest shopping centre, Ipoh Parade Mall.

    Gifts and specials have marked the opening of the concept clothing store.

    uniqlo-malaysia-ipoh-paradeUniqlo’s first store in the city opened at Aeon Mall Ipoh Klebang in 2015.

    Featured at the new store is the brand’s expanded Jogger Pants range. The women’s line features Denim and Drape Jogger Pants while for the men the pants come in denim.

    Children’s and babies’ clothing is also available.

  • Malaysia Fuel prices up 15-20 sen in January 2017

    Malaysia Fuel prices up 15-20 sen in January 2017

    Fuel prices will increase between 15 to 20 sen just as Malaysians usher in the New Year at midnight tonight, according to the Petrol Dealers Association of Malaysia (PDAM).

    The widely used RON95 petrol will cost RM2.10 per litre from tomorrow, and diesel RM2.05 per litre, an increase of 20 sen.

    The RON97 petrol will see an increase of 15 sen, to RM2.40 per litre.

    This comes after the Finance Ministry’s lengthy explanation yesterday justifying an increase in fuel prices in 2017 as inevitable.

    PKRs Rafizi Ramli had predicted a 30 sen increase in fuel prices following an 18% hike in world crude oil prices.

    “With the current strengthening of the US dollar against the ringgit, the cost of purchasing crude oil will also increase.

    “Hence, the surge of the retail fuel price in Malaysia,” said Finance Ministry strategic communications director, Lokman Noor Adam.

  • KIP REIT to list in Malaysia with portfolio of five retail properties

    KIP REIT to list in Malaysia with portfolio of five retail properties

    KIP REIT is set to list in Malaysia on 6 February 2017, with an initial portfolio of five retail properties across the peninsular.

    Documents lodged with the Securities Commission of Malaysia on 30 December indicate an initial public offering of 234.15 million units, of which 13.5 million units are open to retail investors.

    Of these, 10.2 million units are reserved for the Malaysian Public, with 50% of this tranche further demarcated for its Bumiputera nationals.

    The rest of the 220.65 million units will be offered to institutional and other qualified investors, said the REIT.

    KIP REIT is sponsored by Malaysian property developer Kepong Industrial Park (KIP) Group.

    The constituents of its initial portfolio are namely the KIP Mart outlets in Tampoi, Kota Tinggi, Masai, Melaka, Bangi, and Senawang.

    The properties are valued at MYR580 million (USD130 million), and feature an aggregrate occupancy rate of about 85.3% for the four-month period that ended in October 2016.

    In addition, KIP REIT will also have a right of first refusal (ROFR) on the sponsor’s malls at Kota Warisan, Sendayan, Sungai Buloh, Kuantan, and Sungai Petani.

    At the indicative price of MYR1.00 per unit, KIP REIT seeks to raise at least MYR234 (USD52 million) million from the offering.

    Final listing price for units of KIP REIT has been set for 17 January.

  • Selangor to ban retail use of plastic bags in 2017

    Selangor to ban retail use of plastic bags in 2017

    The Selangor government’s “No Plastic Bag Day” campaign, now held on Saturdays, will be extended to every day of the week starting 2017. Elizabeth Wong said the state government will couple this with the polystyrene-free containers campaign next year.

    “Beginning Jan 1, 2017, all retailers in Selangor will no longer provide polystyrene containers and free single-use plastic bags.

    “Local council by-laws have been revised to support this policy and retailers must agree to go plastic-free when applying for or renewing their licences.

    “All retailers will be provided with visual materials to build awareness of the #BebasPlastik campaign,” she said at the #BebasPlastik campaign launch at the Selangor state secretariat building today.

    Wong, who is Green, Technology, Environment, Tourism and Consumer Affairs Committee chairman, said the state government through research found that 71% of Selangorians felt that the “No Plastic Bag Day” on Saturdays was insufficient.

    “We need change and we are committed to this change by making it a policy to fight rampant littering and to address environmental issues like global warming.

    “The Selangor government has also stopped using plastic bags and polystyrene at all official events and buildings.

    “Change can only happen when every level of society gets involved in the effort,” she said.

    The state aims to collect 20,000 pledges by the new year.

    Selangor started the “No Plastic Bag Day” in 2010 with support from most supermarkets, mini markets and retail premises every Saturday.

    Customers are charged 20 sen for each plastic bag they require and the money is channelled to charity bodies or consumerism programmes and environmental conservation efforts.

  • Malaysia’s property market still resilient despite challenges

    Malaysia’s property market still resilient despite challenges

    The property market remains resilient despite of the challenging economic environment, according to observers.

    Rahim & Co Research director Sulaiman Saheh said although the number of launches and sales performance of developers have been declining, there were projects that were performing well due to the nature of the product, concept, location and marketing strategies.

    “Market fundamental is still resilient and the market has the holding power, in spite of some expectations of rising unit sales,” he said during a presentation at the Rahim & Co property research seminar recently. He said affordability is still a major concern.

    “The market is leaning towards the affordable market segment. Creative products within the affordable segment are going to be well-received,” he said, adding that there is still demand but the buyers were hindered by end-financing woes.

    “We expect a rationalisation of high-end and branded residences as the global economy remains challenging,” said Sulaiman.

    According to Knight Frank in a report on the local real estate market, the outlook for the high-end condominium segment remains lacklustre, impacted by weak sentiment as potential buyers and investors continue to adopt a “wait-and-see” approach. “With the widening gap between supply and demand as well as mismatch in product pricing and affordability in the domestic market, more developers are expanding their target catchment by marketing overseas as the weak ringgit translates into attractive pricing and low-entry level for foreigners.”

    It said the challenging property market environment had led to more strategies with developers adopting “push marketing” to boost sales of selected projects and improve revenue.

    Meanwhile, Knight Frank said the office market in the Klang Valley is expected to remain subdued and face downward pressure.

    “Amid the mismatch between supply and demand, office vacancies are expected to trend upwards due to a strong supply pipeline and lacklustre absorption as more firms cut workforce or freeze hiring to consolidate business operations.

    “Owners of newly-completed office buildings which have yet to achieve significant occupancies may offer more competitive rental package to secure tenants while those of secondary office buildings are expected to be more flexible in negotiations to retain existing tenants.”

    According to Axis REIT Managers Bhd head of investments and Malaysian Institute of Estate Agents immediate past president Siva Shanker, some 5.8 million sq ft of office space is expected to come onstream in the Klang Valley in the second half of 2016.

    He said the market would “start to level out” by 2018 or 2019 and start peaking by 2020 or 2021.

    “With additional office space expected to be completed by end-2016 in addition to the still available space in the Klang Valley, the general market will continue to be a tenant’s market.

    “Landlords or building owners have become more aggressive in marketing to attract tenants,” Siva said at Rahim & Co’s property research seminar recently.

    Knight Frank added that good grade and dual-compliant office space in good location, however, is expected to remain resilient.

    As for the retail market, Knight Frank said the projected sales growth for 2016 had been revised downwards from 4% to 3.5% following the weak performance last year.

    “Consumer spending remains a key challenge in the retail industry with many continuing to hold back on purchases due to growing concerns about rising cost of living and the weaker job prospects.

    “Moving forward, the uncertainties following the recent Brexit referendum are expected to further weigh down market sentiments globally and this will not augur well for the local retail industry. With the scheduled completion of some 3.36 million sq ft of new retail space in the second half of 2016, competition in the retail market will heighten.”