BI: Consumer Confidence Remains Optimistic in June 2026, IKK Holds at 117.8

Bank Indonesia (BI) recorded the Consumer Confidence Index (IKK) for June 2026 at an optimistic level of 117.8, although this was lower than the previous month’s IKK of 120.9. In the June IKK report, released on Wednesday (8/7/2026), consumer optimism was supported by persistently strong perceptions of current economic conditions and expectations for the economic outlook. The Current Economic Conditions Index (IKE) and the Consumer Expectations Index (IEK) were recorded at 109.2 and 126.4, respectively. “Based on spending groups, consumer confidence in June 2026 remained optimistic across all groups, with the highest IKK recorded among respondents in the >Rp5 million group at 121.4,” BI stated in the report. By age, BI claimed the IKK also remained at an optimistic level across all age groups, with the highest index recorded among respondents aged 20-30 years (124.3). Spatially, the IKK experienced the largest declines in Makassar, Banten, and Medan, while increases occurred in several other cities. The strong consumer perception of current economic conditions was reflected in the June 2026 IKE of 109.2, which remains in the optimistic zone (index >100), despite being lower than the previous month’s 112.2. The sustained strength of the IKE was underpinned by the Current Income Index (IPSI), the Job Availability Index (IKLK), and the Durable Goods Purchase Index (IPDG), which were recorded at 119.8, 101.8, and 105.9 respectively, though these were lower than the previous month’s figures of 123.2, 105.0, and 108.3. “Spatially, most cities experienced a decline in IKE, especially in Makassar, Banten, and Medan. A number of cities that recorded an increase in IKE included Mataram, Padang, and Palembang,” BI noted. Based on spending groups, consumer confidence in current income remained strong across all groups, although most experienced a decline in the index. The highest index was recorded in the >Rp5 million spending group at 129.2. By age group, the highest index was recorded in the 20-30 years age group at 129.7. Furthermore, respondents’ perception of current job availability declined across all education levels. Nevertheless, respondents with undergraduate and academy/diploma education still recorded indices in the optimistic zone (index >100), at 109.0 and 101.2 respectively. From the spending side, the IPDG or durable goods index was at an optimistic level for most spending groups. The highest index was recorded in the >Rp5 million spending group, although it decreased to 108.8. By age group, the highest index was recorded in the 20-30 years age group, followed by the 31-40 years age group, at 114.0 and 110.5 respectively. Consumer expectations for economic conditions over the next six months are predicted to remain strong. This is reflected in the June 2026 IEK of 126.4, although it is lower than the previous month’s index of 129.7. The sustained strength of the IEK stemmed from optimism regarding income expectations, job availability expectations, and business activity expectations, which were recorded at 133.6, 124.4, and 121.2 respectively. Spatially, most cities recorded a decline in IEK, with the largest decreases occurring in Padang, Bandar Lampung, and Medan. Meanwhile, several other cities recorded an increase in IEK. Respondents’ perception of income expectations for the next six months was at an optimistic level across all spending groups. An increase in the index only occurred in the >Rp5 million spending group, which recorded an index of 138.9, while other groups experienced a decline. By age group, the highest index was recorded in the 20-30 years age group, followed by the 31-40 years age group, at 140.4 and 135.2 respectively. Furthermore, consumer forecasts for job availability over the next six months remained at an optimistic level across all education levels, although all education levels experienced a decline in the index compared to the previous month. “By age group, an increase in the index only occurred in the 51-60 years age group (121.9),” BI explained. Consumer expectations for future business activity development declined across all spending groups. The highest index was recorded in the >Rp5 million spending group, followed by the Rp4.1-5 million group, with indices of 126.3 and 118.8 respectively. By age group, all groups also experienced a decline in the index.