Aprindo Projects National Retail Growth To Reach 4.2 Percent Until The End Of 2023

Retail industry (Photo: dock. Unsplash)

JAKARTA - The Indonesian Retail Entrepreneurs Association (Aprindo) projects national retail growth to reach 4.2 percent by the end of 2023. This figure is higher than growth in 2022, which is 3.8-3.9 percent.

Chairman of the Indonesian Retail Entrepreneurs Association (Aprindo) Roy Nicholas Mandey said retailers still had about one month before the end of the year and this target was considered positive.

"The average retail growth this year is estimated to reach 4-4.2 percent with an optimistic but alert note," Roy said at a press conference in Jakarta, Wednesday, November 15.

Roy assessed that this growth could occur with the consideration of several things, namely if conduciveness is maintained and there is stability in the food sector.

"Democracy parties are expected not to shift the focus of ministries/agencies to maintain dignity according to their main duties and responsibilities. Do not leave the priority economy," he said.

In terms of monetary policy, said Roy, the government has actually tried to suppress inflation, which since the last two months (October-November) Indonesia's inflation has been at 2.56 percent from the previous 2.2 percent.

"Yes, actually it is still up and down, but it is still much better than (inflation) during the pandemic, because inflation in the pandemic is 3-3.2 percent, now it is 2.56 percent," said Roy.

Then, continued Roy, there are a number of things that will boost the increase in retail growth in the fourth quarter.

First, because it is starting to enter the Christmas and New Year (Nataru) holidays. The second is that Indonesia is entering a democratic party period, where these two phenomena are expected to have an impact on increasing public spending (spend).

The third reason is that at the end of this year there will be government spending related to expenditure funds that have been set in the State Revenue and Expenditure Budget (APBN).

"At the end of this year, it is hoped that it will increase (retail growth) from the third quarter because there must be government spending that will be related to GDP," he added.