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Jakarta Post

Consumers under strain, expect bleak year ahead

Retailers struggle to stay afloat as orders from government institutions evaporate, while workers with advanced degrees are not getting the jobs to match. 

Deni Ghifari (The Jakarta Post)
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Jakarta
Sat, May 16, 2026 Published on May. 15, 2026 Published on 2026-05-15T14:25:09+07:00

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Clothing and accessories retailers wait for customers at Senen Market in Central Jakarta on May 14, 2026. Clothing and accessories retailers wait for customers at Senen Market in Central Jakarta on May 14, 2026. (JP/Deni Ghifari)

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onsumers and retailers have bemoaned what they see as deteriorating economic conditions, as the latter struggle with declining orders while the former fail to secure jobs matching their skills.

Muhaimin, a 40-year old worker employed by a uniform and accessories enterprise at Jakarta’s Senen Market, feels this year is particularly tough for business, with sales tanking by as much as 50 percent compared with previous years.

“For quite some time, [business] has been rather quiet, income has been low. We have so many expenses here and there, and sometimes [our revenue] is barely enough just to cover costs. At times, we even have to dip into our own pockets to make up for the shortfall,” Muhaimin told The Jakarta Post on Thursday.

He said his employer’s sales had been declining since February. Ramadan and Idul Fitri, when Indonesian consumers typically spend the most in any given year, had not helped sales in March.

The largest portion of the enterprise’s revenue, over 90 percent, came from government procurement, such as for the military, the police force, ministries or local government institutions.

Muhaimin’s boss, Aldi Sasono, who owns four other stores on the same floor of the market, said he normally received three or four orders from the government every year but had not received any so far in 2026, with no sign of any to come.

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Muhaimin said regular government orders were normally placed between June and August, and they typically made their intentions clear months in advance. “There’s nothing in sight yet, nothing in sight”.

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