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ffline retailers that are members of the Indonesian Shopping Center Tenants Association (Hippindo) are looking to boost retail consumption during the upcoming 2018 Asian Games, which is set to take place this August in Jakarta and Palembang in South Sumatra.

The association, which comprises hundreds of Indonesia’s retailers in the clothing, food and beverage and entertainment sectors, is set to organize its second Indonesian Discount Day (HBDI) in conjunction with the Asiad for three weeks from Aug. 8 to 21, much longer than the first HBDI which lasted four days.

Hippindo chairman Budiharjo Iduansjah said in a press conference that the association was expecting a large boost in consumption from Asiad spectators.

“I believe that negative [consumer] sentiment has been decreasing especially due to things such as the THR [Idul Fitri bonus for civil servants] from the government, Idul Fitri spending and later on the HBDI and the Asiad,” Budiharjo said during a recent discussion in Jakarta.

Bank Indonesia’s retail sales survey showed a similarly positive sentiment, recording that the real sales index grew by 4.1 percent year-on-year (yoy) in April, up considerably from the 2.5 percent yoy growth in March.

Budiharjo said the association was targeting a 20 percent increase in sales revenue, estimating that last year’s HBDI had resulted in Rp 5 trillion (US$359 million) worth of transactions each day.

Furthermore, the association is expecting more incentives from the government through the latter’s VAT refund for foreigners who spend more than Rp 5 million in Indonesia. The refund had been implemented since 2010 but was recently reintroduced to reach out to more customers, said Budiharjo.

“I am optimistic because once tourists find out about the VAT [refund], they will spend more than Rp 5 million,” he said. “We are currently requesting [that the Directorate General of Taxation] lower the VAT refund limit but it looks like it won’t happen by this August.”

The association has also decided to spread the retail spotlight outside the Greater Jakarta area by launching HBDI 2018 in Palembang in conjunction with the Asiad, unlike last year when all efforts were concentrated within Jakarta.

“The majority of retail consumption is still in Jakarta and Java, but we are aware that the government is hoping to boost [retail consumption] outside Java, so that is why we are starting to travel around the country to conduct roadshows,” HBDI 2018 chairwoman Fetty Kwartati said on the same occasion.

She emphasized that this year’s HBDI would not only take place in shopping centers but also in other public spaces such as highway rest areas, airports and even train stations.

Fetty pointed out the event would coincide with Indonesia’s 73rd Independence Day, so it would highlight the number 73 as a theme.

“We are going to offer 73 percent discounts, special prices at Rp 73,000, discounts for residents who are 73 years old and much more,” she said.

Trade Minister Enggartiasto Lukita gave his support for the event, saying the event could serve as a means to boost Indonesia’s economic growth.

“The HBDI is a great opportunity for Hippindo members in the retail, culinary and entertainment sectors to dig up the market potential and breathe fresh air into the trade and tourist sectors to give a push to our economic growth,” Enggartiasto said on the same occasion.

The opportunity, he added, was also timely given the slight slump in Indonesia’s economic growth in the first quarter of 2018, which declined slightly to 5.06 percent from 5.07 percent in the same period in 2017.