Wave 5 dampens economic growth
The latest pandemic wave broadly impacted companies with forced business closures and tightened social distancing measures. They are hoping for a sharp recovery as tightened social distancing measures are expected to be eased.1
The pandemic put some family members from low-income households out of work.2 Our study shows that full-time, employed respondents declined (77% decreased 10 percentage points from Q4). In order to maintain the cost of living, the labour force shifted to part-time and gig work (11% increased 5 percentage points from Q4).
While consumers were using savings and borrowing from others to meet their needs, they also looked to the government for financial relief. Previous government vouchers encouraged consumers to shop online. Half of respondents (49%) expected to shop online more and 41% planned to spend less this year. The new batch of consumption vouchers will help the public steer through difficult times as about half of respondents (57%) still rely on government financial support.
We're sorry, your request failed. Please try again in a little while.