Bank Indonesia’s (BI’s) consumer survey has indicated that consumer optimism about the economy remained strong in December 2021, as mirrored by the Consumer Confidence Index (IKK) recorded at 118.3, or being relatively stable.
On a quarterly basis, the IKK during the fourth quarter of 2021 was recorded at 116.8, rising from 84.3 in the 2021 third quarter and 89.2 in the fourth quarter of 2020.
“Strong consumer optimism in December 2021 was supported by the consumers’ perception of the currently improving economic situation,” the central bank’s Chief Executive Director of Communications, Erwin Haryono, remarked here on Monday.
According to Haryono, the growth was mainly related to consumer perception of the current income and the availability of jobs.
Meanwhile, consumer expectations of future economic conditions remained in the positive grade, with the index above 100, although not as high as 118.5 recorded in November 2021.
In terms of the financial situation, the average proportion of the consumers’ income spent for consumption in December 2021 was recorded to rise slightly as compared to the previous month, from 76.1 percent to 76.2 percent, Haryono noted.
Furthermore, he noted that the installment or debt repayment ratio on an average increased in December 2021, from 9.3 to 9.7 percent.
Meanwhile, the proportion of consumer income saved reached 14.1 percent in December 2021, down from 14.6 percent in the previous month, according to Haryono.
Based on each expenditure category, the survey showed that the average portion of income being spent had mainly increased, especially among respondents with expenditures of Rp3.1 million to Rp4 million per month.
Hence, income savings decreased in most expense categories, mainly among respondents with an expenditure budget of Rp4.1 million to Rp5 million per month, Haryono added.
Source: Antara News