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Cautious consumers in Indonesia scale back Hari Raya spending as uncertainty weighs

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Passengers carrying luggage queue at Pasar Senen train station, as people travel to their hometowns to celebrate Eid al-Fitr, known locally as 'Mudik', in Jakarta, Indonesia, March 16, 2026. REUTERS/Willy Kurniawan

Passengers at the Pasar Senen train station in Jakarta on March 16, as people travel to their hometowns to celebrate Hari Raya.

PHOTO: REUTERS

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The annual spending surge during Hari Raya, typically supported by the mass exodus to home towns (mudik) and holiday allowance (THR) payouts, may lose momentum in 2026 as weaker mobility and more cautious households dampen consumption.

The Ministry of Transportation estimates that only 143.91 million people will travel during the Hari Raya exodus in 2026, a 6.55 per cent decline from the 154 million recorded in 2025.

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