477 © 2022 AESS Publications. All Rights Reserved. IMPACT OF INDIVIDUALS SAVING AND CONSUMPTION BEHAVIOUR TOWARDS INVESTMENT AS INFLOW OF MONEY IN THE ECONOMY OF PAKISTAN: A CASE OF SALARIED CLASS Waqar Munir 1+ Jerome Kueh Swee Hui 2 Muhammad Asraf Bin Abdullah 3 1,2,3 Faculty of Economics and Business FEB, University of Malaysia Sarawak, Malaysia. 1 Email: Waqarmunir7126@gmail.com 2 Email: kshjerome@unimas.my 3 Email: amasraf@unimas.my (+ Corresponding author) ABSTRACT Article History Received: 13 September 2022 Revised: 24 October 2022 Accepted: 7 November 2022 Published: 2 December 2022 Keywords Consumption patterns Investment decision Living standards Saving patterns Scams. Savings and consumption are the central core valuable factors in the growth of an economy. Saving and investment are specifically crucial for individuals and the government for smooth economic growth and wellbeing of the peoples. This study has used the federal government salaried class individuals with the convenience sampling of 550 participants including both male and female. The theory of permanent income study and lifecycle hypothesis support the consumption and savings patterns of the salaried class with their retirement planning and investment decisions. These decisions are also affected by the living standards and investment scams prevailing in the market. The Structural Equation Modelling-Partial Least Square (SEM-PLS) method is used in this study. The literature results revealed that saving patters and consumption patterns significantly impact investment decision of individuals. The moderating role of living standards and the mediating role of retirement planning on investment and savings relationships is essential in today's era for the better investment decision and as inflow of money in the economy. This study will help the policy makers and government to define the policies and regulations for the save investment avenues. However, the model has not been tested empirically, but the literature and study hypothesis support the model and study hypothesis. A future empirical study can be carried on using this model. Contribution/ Originality: This study has been carried out using model of these variables and population of government servants, to uplift their welling and living standards after retirement through government and policy makers to enhance savings as inflow of investment in prevailing investment scams available in Pakistan. Earlier studies discussed traditional investors. 1. INTRODUCTION An individual's consumption behaviour matters for the micro and macro decision-making relating to the social environment and inflow of money through his savings as an investment. These social-economic frameworks of saving and investment aid in determining the individual's consumption behavior for their current and future perspectives. Saving is measured as the income of an individual minus the total expenditures. These socioeconomic and demographic factors, social status, age, income, class, no of dependents, household head education, etc., play a crucial role in determining the household's budget for retirement. Mainly the expenditures on the household members, policy International Journal of Asian Social Science ISSN(e): 2224-4441 ISSN(p): 2226-5139 DOI: 10.55493/5007.v12i11.4685 Vol. 12, No. 11, 477-508. © 2022 AESS Publications. All Rights Reserved. URL: www.aessweb.com