PETALING JAYA: The retail sector is bound to face a challenging near-term outlook with ongoing geopolitical uncertainties, moderated consumer spending and rising operating costs weighing on both demand and margins. Retail Group Malaysia (RGM) maintained its 4% annual growth rate of retail sales, moving deeper into 2026. “This Middle East conflict has contributed to rising energy prices, severe supply-chain disruption and surging logistics costs. “Manufacturers in Malaysia have to deal with higher input costs and weaker demand from major export markets,” RGM pointed out. “However, a prolonged supply shock would soften overall retail growth and tilt spending towards essentials,” she added.

Source: The Star March 20, 2026 11:03 UTC