Public Savings Intention Decreases in July 2025: Here's Why

The Indonesian Deposit Insurance Corporation (LPS) reported that the Consumer Saving Index (CSI) in July 2025 stood at 82.2 points.

This figure weakened by 1.6 points from its June 2025 position of 83.8 points.

The movement of the CSI, according to some household income groups, strengthened in July 2025. The largest increase in the CSI was observed in the household income group earning up to Rp1.5 million/month, rising 9.1 points month-on-month (mom).

Households earning above Rp1.5 million—Rp3 million/month increased by 3.1 points. Meanwhile, the household group with income above Rp7 million/month remained consistently above 100, although it contracted by 8.8 points.

The only household group with a weakening CSI was the group earning above Rp3 million—Rp7 million, which decreased by 3.2 points.

LPS found that a weakening also occurred in the Saving Time Index (STI) component, decreasing by 4.7 points in the same period to 90.5 points. Meanwhile, the Saving Intensity Index (SII) component increased by 1.4 points to 73.8.

LPS further detailed the breakdown. Regarding the SII, the proportion of respondents stating they never saved decreased from 26.7% in June 2025 to 24.9% in July 2025. In the same period, the proportion of respondents who felt that the amount saved was less than planned decreased from 52.5% to 50%.

Meanwhile, for the STI, the percentage of respondents who considered the current time as the right time to save slightly decreased to 26.4% in July 2025, from 28.9% in June 2025. In addition, the percentage of respondents who stated that the next three months were the right time to save also decreased, to 38.6% from 42.6% in the same period.

LPS observed that the intention to save last month decreased due to special expenses.

"This development reflects the declining intensity and intention to save among consumers, in line with the increase in household spending on education at the start of the new school year, amidst the provision of short-term economic stimulus," said Seto Wardono, Director of LPS Research Group, in a written statement on Friday (8/8/2025).

(Read: Indonesia's Consumer Savings Index Strengthens in June 2025)