Majority to save ang pow money: Survey

KUALA LUMPUR: A UOB survey of 500 people aged between 18 and 55 showed that the majority of those receiving “ang pow” (red packets) would save the money while 25% said they would invest it.

The survey conducted by Ipsos interviewed the respondents on their behaviours and attitudes for the 2017 Lunar New Year over November and December.

A statement released by UOB last Friday showed that 73% would save the money given, while 25% said they will invest it. More than 90% of respondents receiving red packets on behalf of their children said they would put it in their child’s savings account.

Notwithstanding the penchant to save, the survey found that Malaysians are expected to spend 9% more this year on festivities.

Respondents said their average budget has increased to RM4,201, 8.4% more than the previous year’s budget of RM3,846.

“On top of higher prices of staples such as sugar, vegetable oils and dairy products due to the increase in global food prices and the weaker ringgit, we are expecting a seasonal increase of up to 50% on some food items because of the Lunar New Year,” UOB Malaysia economist Julia Goh said.

Of the average allocation of RM4,201, RM 1,008 will be for food, of which 43% will be spent on reunion feasts. This has gone up by 14% from 2016 due to higher cost of food.

Travellers from overseas are expected to spend an average of RM2,334, 7% more than in 2016, which was at RM2,181, while those visiting family and friends within Malaysia expect to spend RM1,263, up 66% from 2016.

“The larger food and travel budgets could be because consumers are not compromising on Lunar New Year traditions despite higher cost of living pressures,” Goh said.