Bank Indonesia Survey: Retail Sales In February 2023 Expected To Increase

Illustration (Photo: Doc. Ministry of Finance)

JAKARTA Bank Indonesia (BI) reports that the annual retail sales performance is expected to increase in February 2023.

Director of the BI Communication Department Fadjar Majardi said this was reflected in the February 2023 Real Sales Index (IPR) of 205.2, or grew 2.6 percent year on year (yoy).

"This is better than the previous month which was in the contraction phase," he said in a written statement on Thursday, March 9.

According to Fadjar, the positive retail sales performance was driven by the growth of food, beverage, and tobacco groups, as well as the recorded clothing subgroup which increased compared to growth in the previous month.

On a monthly basis, retail sales are expected to show improvement even though they are still in the contraction phase of 1.4 percent month to month (mtm).

"Improving retail sales mainly occurred in the information and communication equipment group, as well as the clothing subgroup in line with the promotional strategy carried out by retail traders, thus encouraging public demand," he said.

Fadjar added, in the January 2023 period IPR was recorded at 208.2 or on an annual basis contracting by 0.6 percent yoy.

He said that the deeper contraction was restrained by the growth of food, beverage and tobacco groups, as well as clothing subgroups that continued to grow positively.

As for monthly, retail sales also recorded a contraction of 4.4 percent mtm in line with the normalization of public demand after the National Religious Holidays (HBKN) of Christmas and New Year.

"Almost all groups are indicated to have contracted, except for spare parts and accessories groups, as well as motorized vehicle fuels that still grow positively," he said.

In terms of price, respondents estimate inflationary pressure in April 2023 will increase, while July 2023 will decline. Fadjar revealed that the April 2023 General Price Expectation Index (IEH) was recorded at 145.1, an increase compared to the index in March 2023 of 139.1.

Hal tersebut didorong oleh kenaikan harga selama periode HBKN Ramadan dan Idulfitri 2023. Sementara itu, IEH Juli 2023 tercatat 133,5, menurun dibandingkan dengan indek pada Juni 2023 sebesar 138,3 tutup dia.