The Jakarta Post
(JP) Indonesia’s booming economy has turned middle-class households richer, with increases in net worth, assets, income and ability to repay loans, Bank Indonesia (BI) latest survey shows.
The 2011 survey also found that the middle class comprises 60.9 percent of Indonesians, while the low income segment with a net income of below Rp 20.4 million (US$2,162) per year was 22.1 percent of the population and the remaining 17 percent were those who have high income of more than Rp 65.6 million.
“Households’ growth is driven by improving overall economic growth and manageable inflation. High GDP [gross domestic product] creates economic potential for the people,” said Yunita Resmi Sari, deputy director of BI’s banking research and regulation department.
“Improving household conditions also triggered consumption and therefore spurred economic activities,”...