Easing of PPKM Restrictions Leads to Improved Retail Sales Performance in August 2021

Bank Indonesia (BI) noted that retail sales performance in August 2021 improved from the previous month. This is indicated by the Real Sales Index (IPR) which reached 192.5 points in August 2021, up 2.1% from July 2021, which was 188.5 points (month-to-month/m-to-m).

Respondents stated that the increase in sales was driven by public demand. This is in line with the easing of Community Activity Restrictions (PPKM) in various regions.

The increase mainly came from the spare parts and accessories group, which grew by 24.7% (m-to-m). The sub-groups of clothing and motor vehicle fuel also increased by 2.5% (m-to-m) and 8.5% (m-to-m), respectively.

The IPR for the food, beverage, and tobacco group also grew by 1.1% (m-to-m). The IPR for the information and communication equipment group stagnated after experiencing a contraction of 10.2% (m-to-m) in July 2021.

Furthermore, sales in the other household goods group grew by 4.6% (m-to-m). The other goods group grew by 2.5% (m-to-m). Meanwhile, the culture and recreation goods group was the only one to contract, by 3.6% (m-to-m).

Year-on-year, the IPR in August 2021 still experienced a contraction of 2.1%. However, this contraction was not as deep as in July 2021, which reached 2.9%.