Household Consumption Grew 5.93% in Q2 2021

The Central Statistics Agency (BPS) recorded household consumption at constant prices (ADHK) of Rp 1,468.8 trillion in Q2 2021. This figure grew by 5.93% year-on-year (yoy) compared to Q2 2020.

This positive growth in household consumption was the first in the last four quarters. Household consumption had been contracting since Q2 2020.

By component, household consumption for restaurant and hotel spending recorded the highest growth at 6.79% (yoy). The lowest was spending on health and education, at only 1.2% (yoy).

Compared to the previous quarter (quarter-to-quarter/q-to-q), household consumption in Q2 2021 increased by 1.27%. Household consumption for food and beverages recorded the highest growth at 2.13% (q-to-q). Meanwhile, household consumption for health and education contracted by 3.57% (q-to-q).

Cumulatively, household consumption grew by 1.72% in the first half of 2021 (c-to-c). Household consumption for restaurants and hotels recorded the highest growth at 5.34% (c-to-c). Meanwhile, household consumption for clothing, footwear, and their maintenance services still contracted by 0.51% (c-to-c).

Household consumption at current prices was recorded at Rp 2,299.8 trillion in Q2 2021. This contributed 55.07% to the gross domestic product (GDP) which reached Rp 4,175.8 trillion.

Indonesia's economy itself grew by 7.07% (yoy) in April-June 2021. It also grew by 3.31% compared to January-March 2021 (q-to-q).

Similar to household consumption, the year-on-year increase in Indonesia's economy was the first since Q2 2021. Therefore, Indonesia successfully emerged from recession.