Academia
Consumption in Indonesia does not merely endure macro volatility; it frequently accelerates through it.
A warung keeper standing behind the cashier, managing daily sales of basic goods on Nov. 5, 2025. (TJP/Ni Made Tasyarani)
When the regional capital sitting in Singapore looks across the strait at Jakarta during periods of political transition, it invariably reaches for standard country-risk playbooks. The narrative is familiar: policy shifts under President Prabowo Subianto, fiscal uncertainties and shifting global supply chains ought to induce caution. In conventional macroeconomic models, heightened ambiguity triggers consumer paralysis. Households hoard liquidity, defer discretionary purchases and wait for clarity to return to the top.
Yet the financial statements of consumer-facing enterprises across Southeast Asia’s largest economy consistently tell a different story. Consumption in Indonesia does not merely endure macro volatility; it frequently accelerates through it.
