Indonesia Retail Sales Rise for First Time in 4 Months

Indonesia’s retail sales rose 0.6% year-on-year in September 2026, slowing from 1.3% growth in August and marking the weakest pace since June amid persistent price pressures and higher borrowing costs. Still, sales increased for a third consecutive month. Growth in food, beverages and tobacco eased (1.3% vs 2.6% in August), while declines persisted in fuel (-8.6% vs -5.7%), information and communication equipment (-10.8% vs -10.9%), recreational goods (-3.8% vs -0.3%) and household equipment (-6.0% vs -5.2%). In contrast, automotive parts sales accelerated (5.3% vs 3.9%), while clothing sales rebounded (2.7% vs -12.4%). On a monthly basis, retail sales dropped 3.1%, reversing August’s 0.8% increase and marking the steepest decline since April. Looking ahead, retail activity is expected to strengthen modestly in October, supported by continued government stimulus measures.

Indonesia’s retail sales rose 1.3% yoy in August 2026, accelerating from a 1.1% gain in the prior month and extending growth for a second straight month. The increase marked the fastest pace since March, supported by continued government measures to cushion households against persistent cost pressures. Sales growth strengthened for food, beverages and tobacco (2.6% vs 2.4% in July), while automotive parts sales continued to expand at a slower pace (3.9% vs 5.1%). In contrast, clothing sales fell sharply (-12.4% vs 2.8%). Declines also persisted in fuel (-5.7% vs -7.7%), information and communication equipment (-10.9% vs -20.6%), recreational goods (-0.3% vs -6.7%), and household equipment (-5.2% vs -4.9%). On a monthly basis, retail sales increased 0.8%, rebounding from a 0.1% decline in July and marking the strongest gain in five months. Retail activity is expected to continue expanding in September, although growth is projected to remain broadly steady amid elevated price pressures.

Indonesia’s retail sales increased 1.1% year-on-year in July 2026, ending three consecutive months of declines, supported by government measures aimed at cushioning households from persistent cost pressures. The rebound was led by food, beverages and tobacco (2.4% vs -3.6% in June) and clothing (2.8% vs -3.1%). However, growth in automotive parts sales slowed sharply (5.1% vs 18.8%). Meanwhile, spending remained weak on fuel (-7.7% vs -1.5%), information and communication equipment (-20.6% vs -20.2%) and recreational goods (-6.7% vs -6.2%). Household equipment sales also fell 4.9%, reversing a prior 2.8% increase. On a monthly basis, retail sales edged down 0.1%, shifting from a 0.7% rise in June. Retail activity may grow further in August as government support measures continue, though elevated inflationary pressures are likely to constrain the pace of recovery.