Fri, 16 May 2008
Jakarta (ANTARA News) - Indonesia`s business tendency index (ITB) in the second quarter of 2008 is 108.1, meaning that the business situation over the period is better than in the previous quarter, the Central Bureau of Statistics (BPS) said.

The index was based on the results of a survey conducted on 2,3600 large-and medium-sized companies, BPS Deputy Chief for Balance Sheet and Statistical Analyses Slamet Sutomo said on Thursday.

He said the companies believed that all sectors, except the financial, leasing and financial service sectors would see upward business growth.

The country`s ITB was 104.41 in the first quarter of 2008, or better than in the previous quarter, he said.

"According to businesspeople, (in the first quarter of 2008) their income, the use of capacity and the number of working hours rose and their financial condition improved. Only the number of workers fell," he said.

Based on ITB in the first quarter of 2008, the financial, leasing and financial service sectors recorded the highest index at 116.22.

The agency also noted that the country`s consumer tendency index (ITK) in the second quarter of 2008 was 106.66, meaning that the economic condition was better than in the previous quarter to support their consumption needs.

ITK in the first quarter of 2008 was 95.01, or worse than in the fourth quarter of 2007 due to a high inflation in food consumption, tuition fees, transportation and housing sectors, he said.

"Household consumption growth fell. The inflation had added to the people`s sufferings because it lowered their savings. They even found it difficult to buy consumer durables," he said.(*)



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