BI says consumer confidence indicated to remain strong in May 2026

Jakarta - Bank Indonesia (BI) stated that consumer confidence in economic conditions is indicated to remain strong, as reflected in the Consumer Survey results with the May 2026 Consumer Confidence Index (IKK) standing at an optimistic level (index >100) of 120.9. Although still strong, the IKK in May 2026 decreased from the previous month’s figure of 123.0.

Executive Director of the BI Communication Department, Ramdan Denny Prakoso, said in a statement in Jakarta on Wednesday that the sustained strength of consumer confidence in May 2026 was supported by a Consumer Expectation Index (IEK) that was higher than the previous month’s index. In detail, the IEK for May 2026 was recorded at 129.7, slightly higher than the previous month’s index of 129.6.

The increase in the IEK stemmed from optimism regarding expectations of job availability and business activity expectations, which were recorded at 128.1 and 124.5 respectively, higher than the previous month’s figures of 127.7 and 124.1. Meanwhile, the Current Economic Conditions Index (IKE) remained at an optimistic level of 112.2, although it was lower than the previous month’s index of 116.5.

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 123.2, 105.0, and 108.3 respectively, despite being lower than the previous month’s figures of 128.1, 108.8, and 112.6.

In the same survey, BI also noted that the average propensity to consume ratio in May 2026 was recorded at 72.3 percent, relatively stable compared to the previous month’s proportion of 72.1 percent. The debt installment to income ratio stood at 10.2 percent, higher than the previous month’s proportion of 9.7 percent. Meanwhile, the proportion of consumer income saved, or saving to income ratio, was 17.5 percent, lower than the previous month’s proportion of 18.2 percent.