Bank Indonesia (BI) forecasts a 2.6 percent year-on-year (yoy) growth in the Real Sales Index (IPR) for May 2025, reaching 234.0. This marks a recovery from the 0.3 percent contraction recorded in April 2025.
BI’s Communications Department Executive Director Ramdan Denny Prakoso mentioned that this growth is driven by several sectors, including cultural and recreational goods (9.0 percent yoy), food, beverages, and tobacco (4.3 percent yoy), and apparel (4.2 percent yoy).
“The motor vehicle fuel sector (2.7 percent yoy) and spare parts and accessories (0.6 percent yoy) are projected to maintain growth, though at a slower pace than in previous months,” Denny said in an official statement issued in Jakarta on Friday, June 13, 2025, as quoted by bi.go.id.
On a monthly basis, the contraction in retail sales for May 2025 is expected to ease to 0.6 percent (mtm), compared to the 5.1 percent (mtm) contraction recorded in April 2025.
This recovery is attributed to increased sales in Other Household Goods (5.5 percent mtm) and Cultural and Recreational Goods (0.2 percent mtm).
Denny also highlighted that higher consumer demand during Vesak Day and the Feast of the Ascension of Jesus Christ contributed to the improved retail performance.
However, some sectors saw limited growth, including clothing, information and communication equipment, food, beverages, tobacco, and spare parts and accessories.
Retail sales in Surabaya and Denpasar continued to expand, rising by 22.0 percent year over year and 6.7 percent year over year, respectively.
Meanwhile, sales in Semarang, Jakarta, Manado, and Bandung contracted sharply by -39.6 percent, -25.3 percent, -19.4 percent, and -16.8 percent yoy, respectively.
BI also reported that inflationary pressures are expected to ease in July and October 2025. The General Price Expectation Index for July and October is projected at 141.6 and 144.5, lower than the previous period’s readings of 146.4 and 153.1, respectively.
The IPR realization for April 2025 remained relatively stable at 235.5, compared to 236.3 in the previous period, supported by growth in spare parts and accessories, motor vehicle fuel, and cultural and recreational goods.
On a monthly basis, retail sales in April 2025 contracted by 5.1 percent (mtm) due to normalized consumer demand following Ramadan and Eid celebrations.
source: https://rri.co.id/en/business/1580709/indonesia-s-retail-sales-expected-to-rise-2-6-percent-in-may-2025-bi