Indonesian Political, Business & Finance News

Not Incentives, Mall Association Boss Asks Government for This Instead

| Source: CNBC Translated from Indonesian | Economy
Not Incentives, Mall Association Boss Asks Government for This Instead
Image: CNBC

The Indonesian Shopping Centre Management Association (APPBI) believes that restoring public purchasing power must be the government’s top priority, rather than providing direct incentives to the retail sector. APPBI Chairman Alphonzus Widjaja said various stimulus measures for the retail sector would be ineffective if the public continued to hold back on spending. “If we talk about expected stimulus or incentives, government incentives for the retail sector are, in my opinion, the second priority,” Alphonzus said during CNBC Indonesia’s Closing Bell programme, quoted on Monday (15/6/2026). According to him, the retail sector essentially only requires consumers with the ability to shop. “The main priority remains how we focus on raising and increasing public purchasing power,” he stated. “There is no point in stimulus or incentives for the retail sector if no one is shopping. For the retail sector, the most important thing is spending,” he continued. Alphonzus explained that once public purchasing power recovers, retail activity will move naturally without depending on various government assistance programmes. “If purchasing power returns to normal, or is exceptional, spending happens automatically, without the retail sector needing to be given incentives or stimulus,” he concluded.

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