Business Conditions and Consumer Economy Conditions Quarter I-2017 Increased.

A. General Explanation

The Consumer Tendency Index (ITK) is an indicator of the latest consumer economic developments produced by the Central Bureau of Statistics through the Tendency Survey of Consumers (STK). ITK is an index that describes the economic condition of consumers in the current quarter and forecast the coming quarter.

The number of STK samples in South Sumatra in quarter I-2017 was 340 households from a total of 14,600 sample households at the national level. Selection of samples is done quarterly between sessions to obtain a more accurate picture of changes in consumer perceptions over time. Beginning of Quarter I-2015, the method of enumeration and calculation of ITK was completed. STK respondents were selected on the medium and high category census block categories based on the wealth index and are subsamples of the National Socio-Economic Survey (Susenas) specifically in urban areas.

B. Economic Condition of Consumer Quarter I-2017

Þ Value of ITK South Sumatra Province in quarter I-2017 amounted to 101.62, meaning that consumer economic condition increased from the previous quarter. This level of consumer optimism is higher than the previous quarter (ITK value of 100.40).

Þ The improvement in consumer economic condition in Q1 / 2017 was mainly driven by higher consumption of goods / services (index value of 106.54), followed by rising household income (index value of 100.34), and inflation that did not affect total household expenditure Ladder (index value of 100.15).

C. Consumer Economic Outlook Quarter II-2017

Þ Economic condition in quarter II-2017 is estimated at 114.19, meaning that consumer economic condition is expected to improve. The magnitude of this index shows that consumers are more optimistic in the next quarter compared to the first quarter of 2017.

Þ The improvement in consumer economic condition in the second quarter of 2017 is predicted due to rising household incomes.