Singapore consumer confidence rebounds as optimism rise on current and future economy

SINGAPORE: Singapore’s consumer confidence rebounded, recording the greatest improvement among ASEAN peers as optimism grew over the city-state’s current economy and future economic prospects, according to Singapore Business Review, citing the UOB ASEAN Consumer Sentiment Index.

The city-state achieved an index score of 56, up nine points from 47 in UOB’s September 2025 consumer sentiment survey, when the city-state held the lowest score in the region. Singapore’s latest score was also above the ASEAN average of 54.

The report said the rebound was driven by gains across all macroeconomic and personal finance indicators, with confidence in the current economy and future economic outlook rising to 66% and 63%, respectively.

Fewer consumers expressing concerns over household expenses, with more of them feeling more optimistic about their long-term financial commitments, also helped lift Singapore’s overall consumer sentiment index, the report said.

The report added that Singapore’s strong economic performance in the first half of the year, driven in part by artificial intelligence-related demand, alongside government efforts such as the CDC vouchers, helped support consumer confidence.

UOB Head of Research for Global Economics and Markets Research Suan Teck Kin said: “ASEAN-5 economies remained resilient in the first half of 2026, with Singapore and Thailand outperforming expectations.”

Channel News Asia reported that Singapore’s economy is expected to remain on a “firm growth trajectory” for the rest of the year, citing the Monetary Authority of Singapore’s (MAS) latest quarterly macroeconomic review. 

MAS said technology-related industries are likely to drive most of the economy’s growth in 2026, with strong demand linked to the global artificial intelligence boom helping to offset pressures from higher energy prices and fresh US tariffs. 

However, it cautioned that current AI valuations could prove overly optimistic if earnings fail to meet investors’ expectations. /TISG

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