Indonesia Retail Sales Growth Eases

Indonesia’s retail sales grew 1.3% year-on-year in June 2025, slowing from a 1.9% rise in the previous month but marking the second consecutive month of increase. Sales growth eased for food, beverages, and tobacco (2.4% vs 4.0% in May) and cultural and recreational goods (1.5% vs 4.7%). Turnover also weakened for automotive parts and accessories (-0.9% vs 1.6%), fuel (1.2% vs 5.3%), household appliances (-5.9% vs -5.8%), and information and communication equipment (-17.9% vs -27.4%). In contrast, clothing sales rose (1.4% vs -0.3%), registering the first increase in three months. On a monthly basis, retail sales edged down 0.2%, moderating from a 1.3% drop in May and posting the smallest decline in three months, supported by holiday-related spending and cash handouts from the government ahead of the new school year.