FX.co ★ Indonesia Retail Sales Growth Hits 7-Month High

Retail sales in Indonesia experienced a noteworthy increase of 5.5% year-on-year in March 2025, up from the 2.0% growth observed in February, continuing a trend of rising retail trade for the eleventh straight month. This represents the most rapid growth rate since August 2024. The expansion was largely driven by substantial sales in clothing, which climbed by 12.4% compared to 4.9% in February, as well as in cultural and recreational goods, which saw a rise of 9.2% from a previous 7.5%. Additionally, food sales recorded a significant increase of 6.8%, up from 1.8%, owing to heightened consumer activity during the Ramadan fasting period and the forthcoming Eid al-Fitr celebrations. Meanwhile, sales of automotive parts and accessories grew by 9.5%, albeit at a reduced pace from February’s 16.1%, and fuel sales maintained a steady increase of 3.3%. Conversely, there was a decline in sales for information and communication equipment, which fell by 12.9% compared to a 2.3% decline previously, and home appliances, down by 5.7% versus a 4.2% decrease in February. Looking ahead, retail sales are anticipated to dip by 2.2% in April. On a month-on-month basis, retail sales surged by 13.6% in March, marking the most substantial monthly growth since April 2022, a sharp acceleration from the 3.3% increase in February.