Singapore’s Consumer Confidence Rebounds, but Regional Sentiment Remains Flat

Singapore recorded the largest improvement in consumer confidence among five major Southeast Asian economies in 2026. However, the regional reading failed to advance as declines in Vietnam, Malaysia and Indonesia offset gains in Singapore and Thailand.

United Overseas Bank’s Consumer Sentiment Index remained at 54, above the lender’s neutral mark of 50. Singapore climbed nine points to 56, while Thailand rose four points to 51. Vietnam, still the most optimistic market, dropped four points to 63, Malaysia fell three points to 50 and Indonesia declined six points to 49.

The country results tell a less settled story than the unchanged headline. Three of the five markets weakened, leaving the overall reading dependent on Singapore’s sharp reversal and a smaller recovery in Thailand.

The survey also exposed a widening divide between consumers’ view of the economy and their assessment of their own finances. UOB’s macroeconomic sub-index rose three points to 61, while the personal finance component slipped one point to 51.

Sixty per cent of respondents viewed current economic conditions positively, up three percentage points from last year. The share expecting the economy to improve over the next six to 12 months also increased three points, to 61%.

Household confidence moved in the opposite direction. Measures tracking consumers’ comfort with everyday expenses, the risk of losing income and their ability to meet longer-term financial commitments each fell by three percentage points.

That caution did not erase expectations of progress. As many as 60% believed they would be financially better off in a year, a four-point increase. The findings also suggest that consumers are more confident about the direction of their economies than about the resilience of their current household budgets.

Spending patterns reflected the same tension. About 44% of respondents said they were spending more on experiences, an increase of 10 percentage points. Entertainment, leisure travel and dining drew more money even as utility bills and groceries recorded the largest net increases among essential expenses.

For retailers, banks and other consumer-facing businesses, the results point to demand that remains active but increasingly selective. Routine costs are absorbing a larger share of household budgets, leaving discretionary purchases to compete harder for the money that remains.

Singapore produced the clearest turnaround. The proportion of respondents positive about the current economy rose 16 percentage points to 66%, while confidence in its future performance gained 13 points to 63%. The city-state moved from a score of 47, level with Thailand at the bottom of the five-market ranking in 2025, to second place behind Vietnam.

Vietnam’s decline did not dislodge it from the top of the table, though its lead narrowed. Indonesia’s fall below 50 made it the only market in UOB’s survey with an overall pessimistic reading, while Malaysia landed exactly at the neutral level.

The country comparisons should be treated as measures of sentiment rather than direct indicators of consumer spending. The survey also does not establish what caused confidence to rise or fall in individual markets. Its clearest finding is the gap running through the region: households are becoming more hopeful about economic growth without feeling equally secure about their own cash flow.

UOB surveyed 5,000 people online in June, with 1,000 respondents each in Singapore, Malaysia, Indonesia, Thailand and Vietnam. The index averages positive responses to six questions covering current and future economic conditions, household expenses, income risk, longer-term commitments and expected personal finances.