Indonesia: Retail sales expand at slowest pace in 23 months
October 11, 2013
Retail sales expanded 1.3% over the same month last year in August, according to Bank Indonesia's Retail Sales Survey (RSS). The expansion was drastically below the 15.2% rise observed in July (previously reported: +9.1% year-on-year), and represents the lowest growth rate in 23 months. According to the Bank, the increase was driven by a rise in five of the seven categories of the index. The highest increase was recorded in sales of information and communication equipment.
Annual average growth fell from 13.6% in July to 12.6% in August. According to the survey, in September retailers expect sales to recover and grow at a faster pace of 3.1% on an annual basis.
FocusEconomics Consensus Forecast participants see private consumption rising 5.0% in 2013, which is unchanged from last month's forecast. For 2014, panelists see growth in private consumption at 5.1%, which is also unchanged from last month's estimate.
Author: Carl Kelly, Economist