Indonesian consumers less optimistic in July: central bank survey

[JAKARTA] Indonesian consumers were less optimistic in July than the previous month, a Bank Indonesia survey showed on Tuesday.

On yearly basis, the central bank's consumer confidence index fell to 109.9 in July from 111.3 in June. Despite slipping 1.4 points, consumer confidence remained at an optimistic level. A reading above 100 indicates consumers are optimistic.

Consumers, however, became less optimistic over job availability and income, and they expected economic conditions to weaken in the next six months.

The survey also showed expectations of mounting price pressures in the next six months, reflecting consumers concern over the government cutting subsidies for electricity, liquid petroleum gas and fuel.

The annual inflation rate in July was 7.26 per cent, unchanged from June.

REUTERS