Shoppers purchasing food and produce at a traditional market
in Jakarta. More than 64 percent of Indonesians polled in
a new survey believe rising food prices are a “major concern.”
Indonesia’s consumer confidence was little changed in April, a survey by the Danareksa Research Institute (DRI) showed, with those polled saying the economy was improving but that rising food prices remain a concern.
The consumer confidence index, which is compiled from a survey of some 1,700 households in six main areas, remained at a reading of 86.8 in April, unchanged from March.
An index level of below 100 indicates that pessimistic responses outnumber positive responses.
“The rosier economic outlook bodes well for greater consumer spending in the months to come,” DRI said in the survey.
“This optimism on the economy, together with the easy availability of consumer credit, is also encouraging consumers to purchase more
durable goods - our latest survey shows that buying intentions for durable goods remained firm.”
But it added that consumers were still “burdened by high prices of foodstuffs,” with 64.4 percent of those surveyed still citing rising food prices as a “major concern.”
DRI said that it found that 25.2 percent of consumers now plan to buy durable goods over the next six months, slightly lower than in March when 25.4 percent of those surveyed said they planned such a purchase.
The survey found that consumers expect inflationary pressures to ease slightly over the next six months, as food supplies increase thanks to the harvest leading to lower prices for basic foods.
