Pandemic keeps consumers cautious about recovery

Retail consumers will be more cautious in spending and are expected to lean towards essential items such as grocery and household products

KUALA LUMPUR: Consumer sentiment is likely to remain cautious for the remainder of the year due to the lingering impact of the Covid-19 outbreak, says Kenanga Investment Bank Research.

While private consumption continues to be determined by the government stimulus packages, a low interest rate environment and a possible consumer-friendly Budget 2021, the economy could still take several quarters to return to pre-pandemic levels.