Hong Leong Investment Bank: Fiscal support boosts Malaysian consumption, private consumption rose by 4.8% in Q2, maintain overweight rating for the consumer sector

(1) Hong Leong Investment Bank analyst Jonathan Ooi stated in a report that although consumer sentiment remains weak, Malaysian government financial support may play a key role in sustaining consumer spending, with private consumption growing by 4.8% year-on-year in the second quarter. (2) He believes that the budget plan to be announced on October 9 may continue this support, and the minimum wage may also be raised. (3) Ooi said that government utility subsidies and potential cash assistance should help restore consumer confidence, with the tourism industry providing another growth driver. (4) He added that the F1’s return to Sepang during the China Golden Week could serve as a strong catalyst.