Consumer confidence rebounded to its highest point in two years, in December, as a result of more positive assessments on the current state of the economy and also its prospects, according to a survey by Danareksa Research Institute (DRI).
The Consumer confidence index (CCI) rose by 2.7 percent to 101.9 points, from a 0.3 percent fall in November, DRI said in a statement on Tuesday.
However, consumers continue to worry about high food prices with 72.6 percent of consumers still citing pressures from the price of food as a major concern—or up from 70.2 percent in November.
Consumers said they expected inflationary pressures to increase over the next six months, which appeared to reflect consumer doubts over the government’s ability to stabilize prices.
Although consumers were more upbeat on the overall economic outlook, purchasing intentions for durable goods decreased in December. Based on the survey, 29.87 percent of consumers expressed plans to purchase a durable good over the next six months, down from 30.97 percent in the previous month.
The survey is based on a representative sample of at least 1,700 households across six diverse areas through face-to-face interviews.
Sampling for the nationwide survey uses a scientific method to accurately represent Indonesian consumer characteristics, demographically and economically.
Consumer confidence is designed to measure the mood of consumers toward consumption, and thus help to predict buying patterns. (ren)