Indonesian Political, Business & Finance News

BI Records NTT Retail Sales Performance Remains Stable in May 2026

| | Source: MEDIA_INDONESIA Translated from Indonesian | Economy
BI Records NTT Retail Sales Performance Remains Stable in May 2026
Image: MEDIA_INDONESIA

Bank Indonesia (BI) has recorded that retail sales performance in East Nusa Tenggara (NTT) remained stable in May 2026. This condition reflects that public purchasing power is still quite strong, although the growth rate slowed compared to the previous month.

Head of the Bank Indonesia Representative Office for NTT, Adidoyo Prakoso, said this is reflected in the Real Sales Index (IPR) for May 2026, which reached 64.79, or grew 6.49 percent year-on-year (yoy). However, this figure is lower than the growth in April 2026, which reached 7.77 percent (yoy).

The data was obtained from the Retail Sales Survey (SPE) conducted by Bank Indonesia among retail businesses in NTT. This monthly survey aims to provide an early picture of developments in public consumption and retail sales performance as an indicator of regional economic conditions.

“Retail sales performance in May 2026 continued to grow positively, supported by the Information and Communication Equipment group, the Vehicle group, and the Other Household Equipment group,” he said in a written statement on Saturday (13/6).

Conversely, several commodity groups experienced a slowdown, including the Spare Parts and Accessories group, the Motor Vehicle Fuel group, and the Cultural and Recreational Goods group.

On a monthly or month-to-month (mtm) basis, retail sales performance in Kupang City also showed improvement compared to the previous month. In May 2026, retail sales only experienced a slight correction of 0.004 percent, much better than April 2026, which contracted by up to 17.15 percent.

According to Adidoyo, this improvement was supported by the momentum of National Religious Holidays (HBKN) such as the Ascension of Jesus Christ, Eid al-Adha, and Vesak, which drove increased public demand for food and beverages, clothing, and recreational needs.

NTT’s retail sales performance is also in line with national conditions. In May 2026, the national Real Sales Index was recorded as remaining stable on an annual basis with an index of 225.0. On a monthly basis, national performance also improved, although it still experienced a correction of 0.9 percent.

From the price side, BI estimates that inflationary pressures in the next three months, or in July 2026, will decrease. This is reflected in the Price Expectation Index (IEH) for July 2026, which stood at 194.7, lower than the previous period’s 200.0.

The easing of price pressures is supported by subsiding public demand in the absence of significant seasonal factors or major religious holidays during that period.

Meanwhile, inflationary pressures in October 2026 are expected to increase. The IEH for October 2026 was recorded at 197.6, higher than the previous period’s 190.5.

The increase in price expectations is influenced by the potential reduction in food commodity supply due to the dry season associated with the El Niño phenomenon.

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