Indonesian consumers regain confidence in Q3
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Indonesian consumer confidence rose again in the third quarter of this year in line with their increasing confidence for the government’s recent economic policies, global research company Nielsen revealed on Wednesday.
According to Nielsen’s Global Consumer Confidence Survey, the Indonesian consumer confidence index increased by three points to 122 in the third quarter from the previous quarter, an improvement that Nielsen Indonesia managing director Agus Nurudin attributed to a positive public response to the government’s tax amnesty, controlled inflation and manageable economic growth.
“This is the first time we moved back to 120 after one year,” he told reporters, adding that Indonesia, since the third quarter last year, always scored below 120 in the quarterly survey because of political instability and economic uncertainty.
The survey findings also suggested that although Indonesian consumers show an increasing willingness to spend, they are getting more rationale than before.
“They prefer to reduce their spending on expensive tertiary goods, update their gadgets less often and change their foreign trips to domestic ones,” Agus said.
Questions & Answers
Q.What is the current level of the Indonesian consumer confidence index?
What is the current level of the Indonesian consumer confidence index?
The Indonesian consumer confidence index currently stands at 122 in the third quarter of this year. This represents a three-point increase from the previous quarter, according to Nielsen’s Global Consumer Confidence Survey.
Q.What factors led to the rise in consumer confidence during this quarter?
What factors led to the rise in consumer confidence during this quarter?
Nielsen Indonesia managing director Agus Nurudin attributed the improvement to a positive public response to the government’s tax amnesty, controlled inflation, and manageable economic growth. These factors contributed to increased consumer confidence.
Q.How long has it been since the index was above the 120 mark?
How long has it been since the index was above the 120 mark?
This is the first time the index has moved back to 120 after one year. Since the third quarter last year, the quarterly survey consistently scored below 120 due to political instability and economic uncertainty.
Q.How has consumer spending behaviour changed despite the rise in confidence?
How has consumer spending behaviour changed despite the rise in confidence?
Consumers are showing an increasing willingness to spend, but they are becoming more rational. They prefer to reduce spending on expensive tertiary goods, update gadgets less often, and change foreign trips to domestic ones.
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