Indonesia's retail sales down 14.9% in October

The clothing sector recorded the sharpest fall at 58.1%.

Indonesia’s retail sales shrank 14.9% YoY in October, wider than the 8.7% drop in September, according to data from Bank Indonesia.

On a MoM basis, sales declined 5.3%.

All sectors recorded a drop in sales during the month, with clothing recording the sharpest fall at 58.1%. It is followed by other goods and culture recreation goods, which slumped 53.5% and 40.6%, respectively.

Also recording declines were household goods (23.3%), information and communication equipment (30.9%), automotive fuel (17.3%), food and beverage and tobacco (5.6%), and spare parts and accessories (22.9%).

In terms of prices, milder inflationary pressures are expected in the next three months due to adequate supply and smooth distribution of goods as well as price normalisation after the Christmas period. However, they expect inflation to intensify in the upcoming six months due to rising prices of raw materials as well as the start of Ramadan and approach to Eid-ul-Fitr.