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Indonesia: Consumers Expect Prices to Rise in June, BI Says
TEMPO.CO, Jakarta – Bank Indonesia (BI) noted that consumers’ optimism in March 2017 increased, as reflected in the Consumers’ Confidence Index. Last month, the index rose to 121.5 from February’s 117.1.
“The index’s rise comes from the Current Economic Conditions’ Index (IKE) increase of 3.5 points to 108.7 and the Consumers’ Expectation Index’s (IEK) 5.3-point climb to 134.4,” BI’s released survey read on Friday, April 7, 2017.
According to BI’s research, all of the IKE’s constituent indices helped push the gain, including the job availability index—from that rose 4.6 points to 95.1
However, consumers are expecting prices to escalate in June, as seen in the Price Expectation Index (IEH) for the next three months, which rose from 0.9 points in March to 171.7 in June.
BI said that the price hike expectation stems from a likely increasing demand during Ramadan and Eid.
Source: https://en.tempo.co/read/news/2017/04/07/056863657/Consumers-Expect-Prices-to-Rise-in-June-BI-Says