Ramadan as a Catalyst for Boosting the Community's Economy

Consumer activity increases significantly, local markets have been bustling since midday, and millions of small-scale entrepreneurs are seizing this momentum as an opportunity to raise their incomes and improve households’ economic conditions.

Macrso locally, Ramadan makes a major contribution to strengthening domestic consumption. According to data from Statistics Indonesia (BPS) of the Republic of Indonesia (RI), household consumption, which accounts for more than 50 percent of gross domestic product (GDP), tends to accelerate in the first (Q1) and second (Q2) quarters, coinciding with the Ramadan and Eid al-Fitr periods.

Household consumption during Ramadan increases by an average of 10 to 15 percent compared with ordinary months. This is triggered by the culture of buying new clothes, groceries, and preparations for mudik.

At this moment, household consumption becomes the dominant factor driving growth. The rise in consumption is seasonal, but its impact is tangible on money circulating at the grassroots level.

In a housing complex in Cibinong, Bogor Regency, West Java Province, for example, Dewi (47), who sells rice and side dishes as part of her daily business, concentrates on selling cakes every Ramadan. According to this housewife, her income from selling during Ramadan exceeds expectations, rising substantially compared with ordinary months.

“Alhamdulillah, my turnover in Ramadan is larger than usual, even beyond my expectations,” she told Xinhua in Bogor, on Saturday (28/2).

“Orders and sales of cookies have risen drastically, by as much as 100 percent. Orders were opened before Ramadan, and in the second week of fasting, I close orders to ensure deliveries to customers proceed smoothly,” said Aniwati to Xinhua on Sunday (1/3) in Bogor.

Similar sentiments were voiced by Suryaningsih (48), a housewife in Bogor, who during Ramadan receives orders for snacks and drinks for breaking the fast, commonly called takjil.

She sees Ramadan as a good opportunity for her business, because in this month many people order takjil in large quantities to share.

“Alhamdulillah, the income I receive is more than enough. The increase is substantial, because there are many large orders,” said Suryaningsih when met by Xinhua at her home in Bogor on Sunday (1/3).

This also resonates with Aniwati (45) who during Ramadan runs a reseller business of various cookies for Eid. The housewife, who also works as a physiotherapist, says Ramadan is a “golden” moment because many people look for and need cookie gifts for hampers in preparation for Eid.

“Orders and sales of cookies have risen drastically, by as much as 100 percent. Orders were opened before Ramadan, and in the second week of fasting, I close orders to ensure deliveries to consumers proceed smoothly,” said Aniwati to Xinhua on Sunday (1/3) in Bogor.

Ramadan bazaars, takjil markets, and online sales via digital platforms expand market access for small-scale entrepreneurs. Digitalisation speeds up transactions, while promotions through social media increase the visibility of local products. The circulation of the economy is no longer limited to physical markets, but also extends into the digital space.

MSMEs AND DIGITALISATION

Ramadan also serves as a showcase for Indonesia’s micro economy. According to data from the Ministry of Micro, Small and Medium Enterprises (MSME) of Indonesia, the MSME sector absorbs more than 90 percent of the national workforce. During Ramadan, MSME players in the culinary sector, Muslim fashion, and parcel and logistics services experience a significant surge in demand.

Ramadan bazaars, takjil markets, and online sales via digital platforms expand market access for small entrepreneurs. Digitalisation speeds up transactions, while promotions through social media increase the visibility of local products.

The circulation of the economy is no longer limited to physical markets, but also extends into the digital space. Historically, the expenditure group for food, beverages, and tobacco has often experienced price increases due to rising demand. However, through strengthened distribution and coordination by the Regional Inflation Control Team (TPID), the government aims to keep inflation within the target set by Bank Indonesia.

This view is shared by Dewi, Suryaningsih, and Aniwati, who use social media such as WhatsApp and TikTok to promote their trades periodically and to take orders.

“I use WhatsApp status and social media to promote my goods. If customers are satisfied with my cooking, they will contact me directly,” said Suryaningsih.

FIELDS OF Worship and Providence

Structurally, Ramadan is classified as a seasonal economic cycle integrated into the national growth pattern. The surge in consumption, increased production by MSMEs, logistics distribution, and price-stabilising policies create a distinctive and recurring economic ecosystem each year.

But what distinguishes Ramadan from other shopping seasons is its spiritual dimension. Economic motives and worship go hand in hand. Traders do not merely chase profit but also blessing. Consumers do not just shop; they also share.

During Ramadan, social and religious values remain the central foundation. The tradition of sharing free takjil, zakat, infak, and sadaqah creates informal income redistribution in society. Islamic philanthropic activities rise during Ramadan, strengthening social solidarity while aiding vulnerable groups.

According to Dewi, trading during Ramadan is part of worship and a moment to seek sustenance. “For me, worship comes first. When the call to prayer sounds, I stop all activities. After I have completed (my worship), I continue again. The matter of sustenance is already arranged by others,” she said.

Meanwhile, Suryaningsih says many of her customers order takjil to be shared for free during Ramadan. This also drives her turnover higher.