Decoding the Disposable Income riddle in Indonesia

It has always been tough to figure out the Disposable Income riddle in Indonesia GDP per capita is highly misleading given the vast Income disparity in the country Today, we…

It has always been tough to figure out the Disposable Income riddle in Indonesia

GDP per capita is highly misleading given the vast Income disparity in the country

Today, we aim to decode this puzzle by deriving Income from published wage data & employment levels and using the very Granular Expenditure data published by BPS

There are some interesting takes from this:
a. Clearly varies by provinces & the Six Indonesias. This would help fine-tune growth strategies & priorities
b. Income linked not to % Employed but more to % Employed Formally
c. Interesting differences in the Monthly expenditure basket by geographies, esp. Urban/ Rural

Caution: A lot of the published data is PER CAPITA (hence, individual levels). Where possible we have tried to aggregate it to a Household level