FX.co ★ Indonesia’s Retail Slump Deepens in May as Year‑on‑Year Sales Fall 3.9%

Indonesia’s retail sector remained under pressure in May 2026, with sales declining 3.9% year-on-year, according to updated data released on 9 July 2026. The latest figure marks a slight deterioration from April 2026, when retail sales were down 3.7% compared with the same month a year earlier.

The data, measured on a year-over-year basis, indicate that May’s performance not only failed to stabilize but extended the ongoing contraction in consumer activity. The April reading reflected sales versus April 2025, while the May figure compares activity in May 2026 with May 2025, underscoring that the weakness is not just a short-term fluctuation but a continuing trend.

While the change from -3.7% to -3.9% is modest, the back-to-back declines highlight persistent softness in household spending—an important signal for investors and policymakers tracking the momentum of Indonesia’s domestic demand. Further monthly data will be closely watched to see whether retail activity can find a floor in the coming months or if the downturn deepens.