Retail Sales in November 2021 Increased Again; Here's Why

Bank Indonesia (BI) reported that retail sales performance in November 2021 increased again. This is evident from the Real Sales Index (IPR) which reached 201 points, or grew by 2.8% (month-to-month/m-to-m).

However, this retail sales growth was lower than the previous month's growth. In October 2021, the IPR grew by 3.2% (m-to-m). This slowdown in growth was mainly due to unfavorable weather conditions and less smooth distribution of goods.

The growth in retail sales in November 2021 was supported by an increase in sales of Spare Parts and Accessories, which grew by 5.6% (m-to-m), and Food, Beverages, and Tobacco, which grew by 3.4% (m-to-m). The growth of these two groups increased compared to the previous month, which grew by 4% (m-to-m) and 3% (m-to-m) respectively.

Meanwhile, several other groups experienced slower growth, particularly in the sub-groups of Apparel and Motor Vehicle Fuel, which grew by 5.6% (m-to-m) and 6.7% (m-to-m) respectively. This growth was lower than the previous month, which grew by 11.5% (m-to-m) and 10.8% (m-to-m) respectively.

Compared to the same period last year, the IPR in November 2021 grew by 10.8% (year-on-year/yoy). This IPR growth increased compared to the previous month, which was 6.5% (yoy).