This reflects in the consumer confidence index (CCI), which stayed in optimistic territory (index above 100) at 120.9 compared 123.0 in April.
Strong consumer confidence in May was backed by the consumer expectations index (CEI), which rose slightly to 129.7 from 129.6 in April.
Consumer confidence in economic conditions in Indonesia remained strong in May, central bank data shows.
The consumer confidence index stayed in optimistic territory at 120.9 compared 123.0 in April.
The consumer expectations index rose slightly to 129.7 from 129.6 in April.
The current economic conditions index remained in optimistic territory at 112.2, although it declined from 116.5 in April.
Meanwhile, the current economic conditions index (CECI) remained in optimistic territory at 112.2, although it declined from 116.5 in the previous month, the central bank said in a release.
By expenditure group, confidence remained optimistic across all categories, with the highest CCI (124.6) recorded among respondents spending more than Rp 5 million per month.
By age group, the highest CCI (129.1) was recorded among those aged 20-30.
Consumer confidence increased the most in Medan, Bandar Lampung and Palembang, while declines were seen in Pontianak, Mataram and Banjarmasin.
Consumer perceptions of current economic conditions remained strong, with the index at 112.2. This was supported by the current income index (123.2), the job availability index (105) and the durable goods purchase index (108.3). All three remained above 100 in the month, but were lower than in April.
Most cities recorded declines in current economic conditions, particularly Pontianak, Mataram, and Bandung, while improvements were noted in Medan, Palembang and Bandar Lampung.
The expected income remained highly optimistic at 136.5, although slightly lower than April’s 136.9.
The largest increases in consumer expectations were recorded in Bandung, Manado, and Bandar Lampung, while declines occurred in Pontianak, Mataram and Banjarmasin.
The average share of household income spent on consumption in May was 72.3 per cent, broadly unchanged from 72.1 per cent in April. The debt repayment-to-income ratio increased to 10.2 per cent from 9.7 per cent. The saving-to-income ratio fell to 17.5 per cent from 18.2 per cent.
This suggests household spending remained stable, while debt servicing increased and savings declined, the release added.
Fibre2Fashion News Desk (DS)
