Indonesia Retail Sales Fell In January: BI Survey
Indonesia’s retail sales rebounded in December, as demand increased in the festive period, but are expected to fall in January, due to factors including coronavirus lockdown restrictions and harsh weather, results of a monthly survey from Bank Indonesia showed Tuesday.
The BI survey showed that retailers estimated a 1.8 percent month-on-month sales contraction in January as demand normalized after the holiday period in December.
Further, the introduction of new public activity restrictions to battle the coronavirus pandemic in Java and Bali as well as inclement weather and natural disasters plaguing other regions likely damped retail sales.
All commodity groups are expected to register sales decline with the automotive fuels component logging the worst fall.
In December, the retail sales index rose 4.8 percent from November, when they decreased 1.2 percent, survey data from the central bank showed.
Sales grew the most for other household equipment as well as for information and communication devices.
Meanwhile, retailers predicted that the pace of annual decline likely eased to 14.2 percent in January.
On a year-on-year basis, retail sales decreased 19.2 percent in December following a 16.3 percent slump in the previous month. Food, beverages and tobacco as well as clothing held back sales in December.
Retailers expect prices to remain relatively stable in the three months to March before intensifying in the June quarter.
The material has been provided by InstaForex Company – www.instaforex.com