Jakarta: The latest Retail Sales Survey conducted by Bank Indonesia (BI) pointed to a shallower retail sales contraction in June 2020, as indicated by an improvement in the Real Sales Index (RSI) to -17.1 percent (yoy) from -20.6 percent (yoy) in May 2020.
"Broad-based gains were reported across nearly all commodities surveyed, led by Automotive Fuel; Food, Beverages and Tobacco; as well as Information and Communication Equipment as the Government continued to wind down large-scale social restrictions," BI Communication Department Head Onny Widjanarko said in a statement on Tuesday.
In July 2020, retailers predicted further sales improvements despite remaining in a contractionary phase, as signalled by another increase in the RSI to -12.3 percent (yoy) compared with -17.1 percent (yoy) in the previous period.
Retailers expected Food, Beverages and Tobacco as well as Other Household Equipment to drive the gains.
In terms of prices, survey respondents predicted milder inflationary pressures in the next three months (September) before intensifying in the next six months (December), with the 3-month Price Expectations Index (PEI) decreasing to a level of 131.5 from 138.6 and the 6-month PEI increasing to 156.1 from 142.5.
Respondents predicted that inflationary pressures in the next six months would be stoked by increasing activity during the Christmas and New Year festive period.