Indonesian consumers are less optimistic pessimistic about the country’s economic growth following their government’s decision to reduce fuel subsidies on June 15.
According to a survey conducted by Danareksa Research Institute (DRI) in six big cities across Indonesia , the country’s consumer confidence index (CCI) in June weakened to 90.4 points (a score below 100 points indicates that consumers in general are pessimistic about the economy).
The CCI decrease was caused by a 44.55 and 22.22 percent hike in petrol and diesel prices respectively, which had been subsidised by the government.
Statistics Indonesia (BadanPusat Statistik) showed that the country’s inflation in June increased 5.90 percent over the same period last year and 5.47 percent against May.
According to the Bank of Indonesia (BI), the figure is forecast to rise to 7.9 percent by the end of this year.
In April, the country saw a record trade deficit of 1.7 billion USD due to a fall in export turnover and an increase in imports.
On July 2, the World Bank lowered its 2013 economic growth forecast for Indonesia from 6.2 percent to 5.9 percent.
The bank also advised the Indonesian government to be ready for fluctuations in its financial market, rising inflation and a drop in prices of goods.-VNA
According to a survey conducted by Danareksa Research Institute (DRI) in six big cities across Indonesia , the country’s consumer confidence index (CCI) in June weakened to 90.4 points (a score below 100 points indicates that consumers in general are pessimistic about the economy).
The CCI decrease was caused by a 44.55 and 22.22 percent hike in petrol and diesel prices respectively, which had been subsidised by the government.
Statistics Indonesia (BadanPusat Statistik) showed that the country’s inflation in June increased 5.90 percent over the same period last year and 5.47 percent against May.
According to the Bank of Indonesia (BI), the figure is forecast to rise to 7.9 percent by the end of this year.
In April, the country saw a record trade deficit of 1.7 billion USD due to a fall in export turnover and an increase in imports.
On July 2, the World Bank lowered its 2013 economic growth forecast for Indonesia from 6.2 percent to 5.9 percent.
The bank also advised the Indonesian government to be ready for fluctuations in its financial market, rising inflation and a drop in prices of goods.-VNA
