Consumer Confidence Index Decline in March 2019
Bank Indonesia assessed the Consumer Confidence Index in April 2 was 128.1, higher than 124.5 in the previous month. Photo by Bank Indonesia.

JAKARTA (TheInsiderStories) – Bank Indonesia (BI) assessed the Consumer Confidence Index (CCI) on April 2019 was 128.1, higher than 124.5 in the previous month.

The central bank said the rising of consumer optimism was driven by stronger consumer expectations for the future and the improving of perceptions on the current economic conditions. BI also noted that the current financial condition expectation index in April 2019 reached 111.4, or rose 2.5 points from the previous month.

Moreover, the Bank said, the index rose driven by all components of the compiling index and the current income index, which increased to 124.8 from 121.4 in the previous month. Its also occurred in all groups of respondents’ expenditure levels, the highest among respondents who spend Rp2 million (US$139,860) per month.

In line with that, consumer confidence in purchasing durable goods also increased, reflected in the durable goods purchasing index which rose from 110.1 to 114.0.

Consumer confidence of the future economic conditions also strengthened as reflected in the index of financial terms expectations in April 2019 which amounted to 144.8 from a month ago 140.2. The rising on the expectation index of economic conditions is supported by all its constituent components and consumer estimates of the prospects for business activities in the next six months.

The survey resulted also indicate that price increases are expected to decline in the next three months (July 2019), mainly influenced by the return to regular demand for goods and services as the Eid Al-Fitr period passes. Furthermore, price pressures are also expected to decline in the next six months (October 2019) supported by consumer perceptions of the maintained supply of consumer goods and the smooth distribution of products.

Consumer consumption is an essential part of Indonesia’ economic growth.

US$1: Rp14,300

Written by Staff Editor, Email: theinsiderstories@gmail.com