Average Proportion of Consumer Income for Consumption Relatively Stable

Jakarta: The Bank Indonesia (BI) Consumer Survey reported that the average proportion of consumer income for consumption (the average consumption propensity ratio) in June 2023 was recorded at 75.7 percent, relatively stable from 75.4 percent in the previous month.
 
"The average proportion of instalment payments or debt (debt to income ratio) of 9.0 percent was also relatively stable compared to the proportion in the previous month," said the results of the Bank Indonesia Consumer Survey, Monday, 10 July 2023.
 
Meanwhile, continued Bank Indonesia, the proportion of consumer income saved (saving to income ratio) was recorded to be relatively stable in June 2023, namely 15.3 percent.

Based on expenditure group, the average portion of consumption to income was observed to increase in some expenditure categories, the highest was in respondents with spending levels above IDR5 million.
 
"Meanwhile, the portion of savings to income has indicated a decline, the deepest among respondents with spending levels of more than Rp 5 million per month," said BI.
 
Consumer optimism remains strong
 
Overall, the BI Consumer Survey for the June 2023 period indicates optimism for economic conditions to remain strong. This is indicated by the Consumer Confidence Index (IKK) for June 2023 of 127.1, which was maintained at an optimistic level (index above 100), although slightly decreased compared to 128.3 in the previous month.
 
The results of the Bank Indonesia Consumer Survey reveal that consumer confidence will remain strong in June 2023 driven by continued optimism in consumer confidence in current economic conditions and expectations for the economy going forward, although both have slightly decreased compared to May 2023.
 
This reflects the Current Economic Conditions Index (IKE) and Consumer Expectations Index (IEK) for June 2023 which were recorded at 116.8 and 137.5 respectively, lower than 118.9 and 137.8 in the previous month, wrote the results of the BI survey.
 
In June 2023, it was observed that consumer confidence remained optimistic in all expenditure categories, although the deepest decline in optimism was recorded in respondents with expenditures of Rp2.1 million to Rp3 million.
 
Based on age, IKK June 2023 consumer confidence was also observed to be optimistic in all age categories of respondents. On a quarterly basis, the CCI for the second quarter of 2023 indicated stronger consumer optimism with the IKK recorded at 127.2, higher than 122.9 in the first quarter of 2023.
 
"This increase was mainly driven by better consumer perceptions of IKE and IEK during the second quarter, especially for the income component and current job availability, as well as increasing expectations of future business activities," said BI.
 
Cek Berita dan Artikel yang lain di Google News