Indonesia: Retail sales growth back to double digits in July
September 12, 2014
Retail sales in July expanded 18.6% over the same month last year, according to Bank Indonesia’s Retail Sales Survey (RSS). The expansion more than doubled the revised 8.7% rise observed in June (previously reported: +8.6% year-on-year) and marked the highest growth rate in five months. June’s result had represented the first annual growth rate below 10.0% since August of last year. According to the Bank, July’s expansion was driven by strong growth of sales of information and communication equipment and of food, beverages, and tobacco. Meanwhile, sales of automotive fuels contracted in July.
Annual average growth in retail sales picked up from 15.3% in June to 15.6% in July. According to the survey, retailers expect sales to decelerate significantly in August to a 3.6% yoy growth rate.
Author: Carl Kelly, Economist