Indonesia: Retail sales growth slows to seven-month low in May
July 2, 2012
In May, retail sales expanded 8.0% over the same month last year, according to Bank Indonesia's Retail Sales Survey (RSS). The reading was below the 11.7% increase observed in April (previously reported: +10.5% year-on-year) and, in fact, marked the slowest pace of expansion since October 2011. The result mainly reflected a decline in automotive fuels as well as weaker expansion in information and communication equipment. As a result of the slower monthly expansion, annual average growth inched down from 10.5% in April to 10.4% in May. According to the survey, retailers expect short-term sales (three to six months ahead) to continue to increase, which implies sustained growth in private consumption going forward.